On Wednesday, Facebook released its fourth-quarter earnings report providing a glimpse of its impressive strides.
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On Wednesday, Facebook revealed that its EPS for the Q4 stood at 79 cents on revenue of $5.84bn, much higher than the Wall Street estimates. The number of daily active users passed 1 billion in the third quarter, and for the fourth quarter, Facebook was expected to report about 1.03 billion.
Facebook also noted that mobile advertising represented about 80 percent of its $5.6 billion in total advertising revenue from last quarter, which is up from 69 percent a year ago.
Net income attributable to common shareholders rose to $1.56 billion, or 54 cents per share, in the three months ended December 31 from $696 million, or 25 cents per share in the same period of 2014.
The social network’s success was driven by substantial growth within its mobile advertising unit.
In another sign of Facebook’s progress, its share of the digital advertising market rose from 8 percent in 2014 to 10 percent worldwide previous year, according to the research firm eMarketer Inc. “Our community continued to grow and our business is thriving”, Facebook founder and CEO Mark Zuckerberg said in announcing the results.
In total for the full year 2015, Facebook said its revenue came in at $17.93 billion USA – an increase of 44% year-over-year.
‘We continue to invest in better serving our community, building our business, and connecting the world’.
Apart from focusing on mobile, Facebook has been ramping up spending on several ‘big bets, ‘ including virtual reality, artificial intelligence and drones to connect the remotest parts of the world to the Internet. “You have a social media network that is all about engagement and is all about making sure that advertisers are aware of what their reach is, are able to reach consumers who find their ads relevant and it’s a ideal symbiotic relationship”. That statistic far surpasses Snapchat’s 100 million mobile users, mostly confined to the U.S.
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Facebook’s stock moved up 4.5 percent in after hours trading as a result of the earnings numbers.
