Facebook, once again, has surpassed Wall Street’s expectations — and it’s all thanks to its users.
The social networking firm’s revenue rose 59 percent from the year-ago quarter to $6.44 billion, or 97 cents per share. The amount is well above analysts’ estimated of $6 billion and earnings of 82 cents per share. Profit, meanwhile, almost tripled, coming in at $2.06 billion.
Mobile advertising drove Facebook’s success in its second quarter as did increasing user rates. The social media firm says it now has 1.71 billion monthly active users and 1.13 billion daily users, a 20 percent and 17 percent increase respectively.
Given those numbers, it is no wonder Facebook is able to pull in an average of $3.82 per user. In the U.S. and Canada, that number skyrockets to $14.34 per user, a significant increase from the $9.30 it recorded in the year-ago quarter.
“Our community and business had another good quarter,” said Facebook CEO Mark Zuckerberg. “We’re particularly pleased with our progress in video as we move towards a world where video is at the heart of all our services.”
“Our results show our progress as we work to make the world more open and connected across our three-year, five-year, and ten-year horizons,” he added, in a conference call with investors. “Over the next three years, we’re focused on continuing to build our community and help people share more of what matters to them. The next five years are about building our newer products into full ecosystems, developers and businesses. And over the next 10 years, we’re working to build new technologies to help everyone connect in new ways.”
Video, Zuckerberg said, will continue to be a major focus for Facebook and, soon, it will be “at the heart of all of our apps and services.”