At least revenues could be questioned, in 2000, in many cases there was no revenue
A number of prominent tech companies have been subject to questioning from the SEC about how they record their revenues. When Etsy went public earlier this year, the Securities and Exchange Commission questioned the way the company would record revenue from certain fees. The regulator was also concerned that a graphic at the beginning of Etsy’s IPO prospectus was misleading. The graphic, which was labeled “our innovative platform,” showed sales growing from $280 billion in 2008 to $695 billion in 2013. In fact, Etsy’s revenue in 2013 was only $125 million (yes, million).