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.
Facebook’s transition to a mobile company continues unabated, as the social network announced within its fourth-quarter earnings release that mobile daily average users surpassed Web DAUs during the period for the first time ever.
Facebook Posts 3Q Net Loss On Increased Revenues; Totals 1.007 Billion Monthly Active Users, 640M Mobile MAUs
Facebook posted a net loss of $372 million in the third quarter of 2012 using generally accepted accounting principles, or $59 million following the GAAP income tax provision for the third quarter of $431 million, compared with net income of $227 million in the third quarter of 2011, on revenue of $1.26 billion, which was up 32 percent from $954 million in the year-ago period.
Zynga said its games held eight of the top 10 spots on Facebook in terms of daily average users as of March 31, and the developer also touted the beta launch of its Zynga.com platform while reporting its financial results for the first quarter of 2012.
Facebook officially acknowledged that it topped the 900 million monthly average users mark, saying in the fourth amendment to its initial public offering filing that it totaled 901 million MAUs as of March 31, up 33 from 680 million on the same date in 2011.