Mark Zuckerberg

Facebook’s ‘good’ quarter means ad revenue jumps 67%

Total users hits 1.32 billion, with 829 million on every day

Facebook is on a roll. The world’s largest online social network posted sharply higher earnings on Wednesday as revenue from mobile advertising continued to grow, along with its user base.

Facebook Inc. said Wednesday that it earned $788 million, or 30 cents per share, in the April-June period. That’s up from $331 million, or 13 cents per share, in the same quarter a year ago.

Adjusted earnings were 42 cents per share, handily beating Wall Street’s expectations of 33 cents, according to a poll by Zacks Investment Research.

Facebook’s revenue jumped 61% to $2.91 billion from $1.81 billion in the same quarter a year ago. Analysts expected $2.8 billion. This was the fifth quarter in a row that Facebook beat Wall Street’s forecasts.

Advertising revenue jumped 67% to $2.68 billion. Mobile ad revenue, a closely watched figure, was 1.66 billion, or 62% of Facebook’s total advertising revenue for the quarter. In the first three months of the year, mobile ads accounted for 59% of Facebook’s total ad revenue.

The steady increase indicates that Facebook is succeeding in steering advertisers to its mobile platform at a time when most of its users are using mobile devices to access the social network.

Facebook had 1.32 billion active users at the end of June, up 14% from a year earlier. On average, 829 million people used Facebook every day in June, up 19% from a year earlier. The number of people who log in at least once a day on mobile devices was 654 million on average in June, up 14% from a year earlier.

“We had a good second quarter,” said CEO Mark Zuckerberg in a statement. “Our community has continued to grow, and we see a lot of opportunity ahead as we connect the rest of the world.”

Shares of the Menlo Park, California-based company have climbed $16.64, or 30%, to $71.29 since the beginning of the year, while the Standard & Poor’s 500 index has climbed 7.5%. The stock has more than doubled in the last 12 months.

Media Articles

Cable companies down, but not out

Cutting the cord won't mean cutting out your cable provider

On the Move — Weekly Roundup

A recap of who’s headed where in Canadian marketing communications

Blue Ant hires Laura Pearce to focus on consumer outreach

Former AOL exec now VP of brand strategy and fan engagement

CBS launches digital streaming service

Service offers expansive lineup, but doesn't include live sporting events

Digital Day 2014: Mitch Joel and Scott Stratten talk real-time

The social media experts discuss social spontaneity and Carrot Top

HBO GO to launch as stand-alone streaming service in 2015

Network sets its sights on the 80 million homes in the U.S. that don't have HBO

Nearly half of Canadians now binge watch TV: Study

Reasons to binge watch: not tied to a schedule, ability to skip commercials