TikTok’s European operations experienced significant growth in 2024, with revenues increasing by 38% to reach $6.3 billion. This surge occurred despite heightened regulatory scrutiny and the looming threat of a U.S. ban. The company’s European revenue more than doubled since 2022, when it reported $2.6 billion, according to filings submitted to Companies House, the U.K.’s corporate registry.
Although TikTok is not yet profitable, it has made strides toward financial stability. In 2024, its pre-tax losses narrowed to $616 million, down from $1.47 billion in 2023. However, the growth rate has slowed compared to previous years; in 2023, the company saw a 75% increase in revenue.
Despite the financial gains, TikTok faces ongoing regulatory challenges in Europe. The European Commission has initiated proceedings against the platform for allegedly failing to mitigate election integrity risks. Additionally, U.K. regulators are investigating potential misuse of children’s data, while Spanish authorities are probing illegal ad targeting practices. In response to these concerns, TikTok has launched “Project Clover,” aiming to reduce Chinese access to European user data. The company opened a data center in Norway earlier this year and plans to establish a second one in Finland.
To address financial pressures, TikTok is implementing cost-cutting measures, including layoffs. The company has warned hundreds of its trust and safety staff in London about potential job cuts and plans to use artificial intelligence to automate moderation tasks. Despite a 6% reduction in headcount over the past year, staff costs increased to $937 million in 2024 from $805 million the previous year.
