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.
Ad revenue accounted for $2.34 billion of Facebook’s fourth-quarter-2013 revenue total of $2.59 billion, so it’s no surprise that the social network’s advertising results and initiatives were the topic of the lion’s share of discussion during its earnings call Wednesday.
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.
“Wouldn’t it be fun to build a billion-dollar business in six months?” That question, posed by Facebook Co-Founder and CEO Mark Zuckerberg to Director of Engineering Andrew Bosworth in May 2012, during a walk around the social network’s campus in Menlo Park, Calif., sparked the company’s overhaul of its advertising infrastructure, and it marked just one of the anecdotes included in a wide-ranging, detailed story for The Wall Street Journal by Evelyn M. Rusli.
U.S. District Judge Robert Sweet ruled that Facebook, Co-Founder and CEO Mark Zuckerberg, and several banks must face a lawsuit by investors over the social network’s bungled May 2012 initial public offering, Reuters reported.
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.
With Facebook set to announce its third-quarter earnings Wednesday, Oct. 30, at 2 p.m. PT/5 p.m. ET, the average projections from Wall Street are $1.89 billion in revenue and earnings per share of $0.18, Seeking Alpha reported.
Global social marketing platform Kenshoo Social compared the performance of its Facebook advertising clients in the third quarter of 2013 with the second quarter, encompassing more than 85 billion ad impressions, and it found improvement across the board.
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.