Twitter Inc. (NYSE:TWTR)

The financial data demonstrates significant developments in the company’s debt and equity structure over the analyzed period. Overall, there is an evident increase in the company's liabilities alongside fluctuations in stockholders’ equity, revealing shifts in capital structure and financing strategies.

Convertible and senior notes, and finance lease liabilities

These liabilities have shown a marked upward trend from US$197,646 thousand at the end of 2013 to US$4,253,019 thousand by the end of 2021. There was a substantial rise starting from 2014, peaking notably in 2018 and again escalating through 2020 and 2021. This upward movement indicates increased leverage, possibly reflecting greater borrowing or lease commitments to finance operational or expansion activities over the years.

Stockholders’ equity

Stockholders’ equity exhibited a generally increasing pattern from US$2,950,006 thousand in 2013 to a high of US$8,704,386 thousand in 2019. However, after 2019, equity declined to US$7,970,082 thousand in 2020 and further to US$7,307,199 thousand in 2021. This decline in the latter years could suggest share repurchases, accumulated losses, or dividend payments exceeding net income, affecting the net asset base.

Debt to equity ratio

The debt to equity ratio started very low at 0.07 in 2013, indicating minimal leverage relative to equity. This ratio rose sharply in 2014 to 0.44 and then stabilized around 0.36 to 0.40 through 2015 to 2018. There was a decrease to 0.29 in 2019 reflecting a stronger equity base relative to debt that year. However, the ratio increased again from 0.44 in 2020 to 0.58 in 2021, highlighting a renewed rise in leverage, driven by increased liabilities and decreased equity.

In summary, the company has progressively increased its debt levels while experiencing growth and later contraction in its equity base. The fluctuations in the debt to equity ratio reflect changes in the organization’s capital structure, with a tendency towards greater leverage in the most recent periods analyzed. This could imply higher financial risk but may also suggest leveraging for growth or operational needs.