A large part of that is that he hasn't really updated the site in ages. It's basically coasting, as far as I (or anyone I know) has been able to tell. That it can make that much money without adding 'new and exciting features' is impressive.
I disagree. Terrible design can be ugly, but also a feature. For instance, the squished pictures may be driving profile views (people click to see the unsquished picture).
