As a result of the official closing of Facebook’s acquisition of cross-platform messaging application WhatsApp, the first clear picture of WhatsApp’s financial results emerged in the form of a Form 8-K/A filed with the Securities and Exchange Commission by its new parent company Tuesday, and the picture wasn’t a pretty one when it came to net loss.
Mobile growth was everywhere to be found among Facebook’s third-quarter-2014 financial results, as mobile advertising revenue accounted for approximately 66 percent of total ad revenue for the period, up from 49 percent in the third quarter of 2013, while growth among mobile daily active users and monthly active users far outpaced the respective figures for overall DAUs and MAUs.
Facebook reported 1.32 billion monthly active users as of June 30 as part of its second-quarter financial results, up from 1.276 billion at the end of the first quarter of this year, and from 1.115 billion at the end of the year-ago period. Mobile MAUs were 1.07 billion, up slightly from 1.008 billion in the previous quarter, and up dramatically from 819 million in the second quarter of 2013. And the social network’s total of mobile-only MAUs continued to grow rapidly, reaching 399 million as of June 30 after wrapping the first quarter of 2014 at 341 million and the previous-year period at 219 million.
Facebook topped 1 billion monthly active users in October 2012, and the social network announced another milestone in its first-quarter-2014 earnings release, as it has now surpassed 1 billion mobile MAUs, ending the quarter at 1.008 billion.
4Q EARNINGS CALL: Facebook’s Mobile Ad Revenue Of $1.25B Accounts For 53% Of Total Revenue; Monthly Active Users Now Total 1.23B, 296M Mobile-Only
If there were any doubts that Facebook is now a mobile company, the social network’s fourth-quarter earnings call Wednesday quashed them all, as mobile ad revenue during the period topped the $1 billion mark for the first time, at $1.25 billion — higher than the company’s total revenue in the fourth quarter of 2012 — and it also accounted for more than one-half of total revenue for the first time, at 53 percent.
Facebook reported its third-quarter earnings at the close of business Wednesday, posting revenue of $2.02 billion, up 60 percent from $1.26 billion in the year-earlier quarter, and GAAP (generally accepted accounting principles) net income of $425 million, or $0.17 per share, compared with a net loss of $59 million (-$0.02) in the third quarter of 2012.
The tax man cometh and, in the case of Facebook in the U.K., he leaveth empty-handed, as The Guardian reported that the social network paid no taxes in the U.K. in 2012, despite seeing its income there rise by 70 percent, and despite accounting for nearly one-half of the £6 billion ($9.66 billion) that eMarketer projects for 2013 digital ad spending in the U.K.
2Q: Facebook Reaches 1.15B Monthly Active Users, 819M Mobile MAUs; Revenue Up 53% Vs. 2Q 2012, GAAP Net Income Of $333M
Facebook reached 1.15 billion monthly active users as of June 30, up 21 percent compared with the second quarter of 2012, while daily active users were up 27 percent to 699 million, and mobile MAUs leaped by 51 percent to 819 million, the company reported as part of its second-quarter financial results.
Although Facebook’s overall revenue took a hit from the fourth quarter of the 2012 fiscal year, the company earned $1.25 billion in ad revenue in the first quarter of 2013 — 30 percent of which came from mobile ads. Total revenue hit $1.46 billion, a 38 percent increase from the first quarter of 2012.
The sentiment on Wall Street following Facebook’s fourth-quarter earnings call Wednesday was more negative than positive, with many analysts pointing to the social network’s staggering spending forecast for 2013 in lowering their ratings.