Sunday 21 January 2018

Twitter's Irish unit returns to profit

Twitter agreed a 20-year lease for Cumberland House in south central Dublin
Twitter agreed a 20-year lease for Cumberland House in south central Dublin

Gordon Deegan

The Irish arm of social media giant, Twitter last year returned to profit, new documents show.

In an auditor's report lodged with the Companies Office, the documentation confirms that the Dublin-based firm, Twitter International Company, returned to profit after recording a loss in 2013.

The firm - which yesterday confirmed co-founder, Jack Dorsey as its permanent CEO - is set to expand its operations in Dublin next year after recently signing a €92m deal for a much bigger property.

The firm agreed a 20-year lease for Cumberland House in south central Dublin and is likely to move in the second half of next year.

Twitter will pay an initial rent of €4.6m a year to occupy about 85,000 sq ft of office space. This is almost five times the size of it's current offices, which total 17,500 sq ft.

The profit-making Irish unit of the micro-blogging firm bucked the company wide loss-making trend last year with Twitter globally recording pre-tax losses of $578.3m in spite of revenues doubling to $1.4bn.

However, the extent of the profit at Twitter's Dublin HQ in the three page report by PwC isn't revealed as Twitter's company status here is unlimited and it is therefore not required to file annual accounts.

Twitter is one of the most high-profile US multi-nationals to have unlimited status in Ireland, with big players such as Apple, Linkedin and Medtronic along with more recent US firms including AirBnB and Dropbox opting for the same status.

Dublin's Twitter operation is the firm's European Middle East and African (EMEA) HQ and has over 20 different functions represented including sales, policy, HR, finance, legal, IT and engineering.

Twitter's Dublin operation is headed up by Harvard and Trinity educated Dubliner, Stephen McIntyre.

The firm only established here in September 2011 but has increased its workforce to over 200, and it currently has numerous vacancies including a number of senior positions such as EMEA Director of Legal, Head of Sales for the MMS German market and a number of sales positions.

Documents filed by Twitter Inc in the US show that $457m of the global revenues in 2014 were based outside the US and Twitter's Dublin firm would oversee a sizeable chunk of those revenues with responsibility for the EMEA.

The US documents disclose that $140m of revenues were generated in the UK and on a rough calculation based on population size, revenues in Ireland would be around $10m.

Currently, Twitter has 316 million users worldwide. The Irish person with the largest number of followers is One Direction's Niall Horan who recently topped 23 million.

Irish Independent

Promoted Links

Business Newsletter

Read the leading stories from the world of Business.

Promoted Links

Also in Business