Day 28: Four Full Weeks Without a Response
Today marks Day 28.
Yes, Days 27 and 28 happened to fall on a Saturday and Sunday, but the bigger picture remains the same.
It has now been four full weeks since I requested the methodology and report for a study published by the Nextdoor Communications team that listed Jacob Chavis as the contact.
No report.
No methodology.
No acknowledgment.
Realistically, this should have taken a few business days at most. Even if the report couldn’t be shared, a one-line response explaining why would have demonstrated professionalism and respect.
Instead, silence has become the response.
I also remember keeping track of CEO Nirav Tolia’s public engagement. There was a stretch of more than a month—from around Thanksgiving until New Year’s Day—with little public communication. Today, much of the messaging centers around AI, transformation, and the future.
AI is important.
But AI isn’t a substitute for accountability.
As a shareholder, I’m more interested in hearing why leadership believes the company’s performance justifies executive compensation.
After reviewing the SEC filings, I found myself asking:
What is the rationale for awarding executive bonuses while the company continues to report losses?
Executive compensation should align with the creation of long-term shareholder value.
One metric often highlighted is Adjusted EBITDA.
Adjusted EBITDA can be a useful operational measure because it removes items such as interest expense, income taxes, depreciation, amortization, stock-based compensation, restructuring charges, and certain one-time or non-recurring expenses.
However, it is not the same as profitability or cash generation.
It does not fully reflect:
Interest expense on debt.
Income taxes.
Capital expenditures needed to operate and grow the business.
Depreciation and amortization of assets.
Stock-based compensation that dilutes shareholders.
Changes in working capital.
Free cash flow available to the business.
That’s why I prefer looking at the complete financial picture rather than one adjusted metric.
As investors, we should ask:
Are executives being rewarded for building lasting shareholder value?
Or are they being rewarded for meeting adjusted targets that don’t tell the entire financial story?
Four weeks without a response, and executive incentives tied to adjusted performance metrics leave me asking more questions than I receive answers.
Leadership is measured by results.
Communication is part of those results.
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