TWITTER, INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (In thousands) (Unaudited) Three Months Ended September 30, 2020 2019 28,659 $ 36,522 $ Nine Months Ended September 30, 2020 2019 (1,357,742) $ 1,346,886 $ 1,331 Net income (loss) Other comprehensive income (loss), net of tax: Change in unrealized gain (loss) on investments in available-for-sale securities Change in foreign currency translation adjustment Net change in accumulated other comprehensive income (loss) Comprehensive income (loss) (70,296) (2,154) 5,067 2,913 31,572 $ (68,965) (32,443) $ 20,037 (39,590) (19,553) (1,377,295) $ 19,285 (69,883) (50,598) 1,296,288 $ The accompanying notes are an integral part of these consolidated financial statements. 8 1. Provide the following ratio and provide an explanation of what they mean from the balance sheet of Twitter. Inc: 1. Quick Ratio= current assets- inventory / Liabilities 2. Earning per share= company profit/ outstanding shares of common stock 3. Price earning=share pricelearning per share 4. Debt equity= total liability/ shareholder equity 5. Return on Equity= Net income/ SHareholder equity Item 1. Financial Statements TWITTER, INC. CONSOLIDATED BALANCE SHEETS (In thousands, except par value) (Unaudited) September 30, 2020 December 31, 2019 $ Assets Current assets: Cash and cash equivalents Short-term investments Accounts receivable, net of allowance for doubtful accounts of $16,327 and $2,401 Prepaid expenses and other current assets Total current assets Property and equipment, net Operating lease right-of-use assets Intangible assets, net Goodwill Deferred tax assets, net Other assets Total assets 2,201,073 $ 5,479,974 747,548 160,984 8,589,579 1,392,720 828,213 58,923 1,289,147 792,362 137,848 13,088,792 $ 1,799,082 4,839,970 850,184 130,839 7,620,075 1,031,781 697,095 55,106 1,256,699 1,908,086 134,547 12,703,389 $ $ $ 161,148 500,893 Liabilities and stockholders' equity Current liabilities: Accounts payable Accrued and other current liabilities Convertible notes, short-term Operating lease liabilities, short-term Finance lease liabilities, short-term Total current liabilities Convertible notes, long-term Senior notes, long-term Operating lease liabilities, long-term Deferred and other long-term tax liabilities, net Other long-term liabilities Total liabilities Commitments and contingencies (Note 14) Stockholders' equity: Preferred stock, $0.000005 par value-- 200,000 shares authorized; none issued and outstanding Common stock, $0.000005 par value-- 5,000,000 shares authorized; 794,447 and 779,619 shares issued and outstanding Additional paid-in capital Accumulated other comprehensive loss Retained earnings (accumulated deficit) Total stockholders' equity Total liabilities and stockholders' equity 241,102 623,885 905,532 161,508 3,076 1,935,103 1,858,685 692,742 727,011 28,845 34,318 5,276,704 146,959 23,476 832,476 1,816,833 691,967 609,245 24,170 24,312 3,999,003 4 9,249,956 (90,087) (1,347,785) 7,812,088 13,088,792 8,763,330 (70,534) 11,586 8,704,386 12,703,389 $ $
