Loading...
See More

Facebook revenue surges 40%

Jan 31 2013 07:20 Reuters
Facebook

(File) (Shutterstock)

Related Articles

Facebook CEO donates $500m in stock

Bosses take fun out of Facebook

Facebook mobile growth allays fears

Games play into Facebook's future

Beware: Facebook could get you fired

Facebook, Twitter ads lift mobile revenue

 
San Francisco - Facebook's  advertising business grew at its fastest clip since before the company's May initial public offering, helping the company's revenue expand 40% to $1.585bn.

Shares of Facebook were down 2.5% to $30.45 in after hours trading on Wednesday.

Facebook said its mobile business accounted for 23% of total ad revenue, compared with 14% in the third quarter.

But some investors may have been expecting more.

"Mobile revenue was expected to be a little higher," said Aaron Kessler, an analyst with Raymond James, who said he was looking for mobile revenue to be 25% of total ad revenue.

"Overall a solid quarter but maybe high expectations going into the quarter," said Kessler.

Facebook shares, which lost more than half their value following its May initial public offering, have regained ground in recent months as concerns about its mobile ad business and insider selling have eased. Shares have surged roughly 60% since mid-November.

Facebook, the world's largest online social networking service, said net income in the fourth quarter was $64m, or 3 cents a share, compared with $302m, or 14 cents a share in the year-ago period.

Excluding certain items, Facebook said it earned 17 cents a share.

Facebook has ramped up its online advertising services in recent months, putting a greater emphasis on mobile ads and introducing capabilities that let marketers target Facebook users based on their web browsing history.

Advertising revenue in the fourth quarter grew 41% to $1.33bn, with mobile ads representing 23% of Facebook's ad revenue.

Facebook's overall fourth-quarter revenue was $1.585bn, versus $1.131bn in the year-ago period.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
2 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

New forms of digital technology are changing the very ways in which entrepreneurs run their businesses.
 
 

6 life hacks you simply have to know

A few simple tricks can make your life so much easier!

 
 

For chic geeks...

Device lets disabled people talk through their nose
It’s THIS easy for someone to steal your ATM pin!
This is why you should install iOS 8
17 photo illusions that look so real

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...