NEW YORK (
) -- Congress' latest inability to get its act together to legislate, makes it all the more ironic that
IPO paperwork was released during the Capitol Hill shutdown. That's because the company's earnings and international projections show that, in order to take advantage of the Jumpstart Our Business Start-ups Act -- shortened to a Twitter friendly JOBS Act -- to go public, Twitter had no choice but to file in 2013.
Twitter, the micro-messaging company based in California, unveiled its S-1 Thursday, Oct. 3, after earlier saying that it had filed with the
Securities and Exchange Commission
confidentially, something allowed under the JOBS Act.
One critical missing piece of information was the company's choice of which exchange it will list on, the
New York Stock Exchange
, although its ticker symbol of choice is TWTR.
And, as Twitter took one of the final steps to bring it to public markets and international growth, the $1 billion offering showcased strengths and weaknesses that served as a reminder of why Congress passed the JOBS Act in 2012.
Twitter's history to date shows that, even more so than
, the company is still in its earliest stages. Rather, where the company is in terms of its maturity is comparable to
, the Chicago-based start-up that after a series of fits and starts during its registration, sunk on public markets, erasing billions in market cap.
Twitter became EBITDA profitable in the third quarter of 2012, more recently its fourth-quarter margin was 16%.
A whopping 87% of its $253.6 million in first-half revenue comes from advertising, although events sales and app retailing are potential future business verticals for Twitter, sources previously said.
Twitter is also eyeing multiple international markets for expansion, and because of its newly cemented status in pop culture, the company said in its filing that it anticipates a better rate of growth in places like Saudi Arabia.
Even if its attempts to monetize lines of business outside of its ad network are not successful, the company's international growth prospects should aid its advertising sales. With 215 million active users monthly, Twitter is poised to add hundreds of millions more overseas.