Re:Tech Unicorns Are Going Public at Near-Record Pace
by cobookman on Wednesday December 19, 2018 @04:27PM
(#18719841)
Even if Facebook has a 50% reduction in rev, they'd likely be breaking even, and not touch their massive cash reserve.
2017 earnings:
* 40B of Rev
* 5.5B cost to rev
* Gross profit of 35B
* Operating Income of 20B
https://www.nasdaq.com/symbol/fb/financials?query=income-sta...
I don’t use them, perhaps I’d feel differently if I did, but they seem very vulnerable to me given their revenue is ad based and they have massive credibility and reputational problems amongst both advertisers and readers. Google has a broader base but are still vulnerable as the money comes from ads, and that can dry up quickly.