The report’s figures beat the Wall Street’s estimate because analysts were only looking for $0.52 a share on sales of $4.37 billion.
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Average revenue per user in the United States and Canada grew to $10.49 up 42%, more than thrice the global average of $2.97 and more than seven times that the Asia-Pacific, where revenue averaged at $1.39 per user. All revenue across the business amounted to $3.2bn during the third quarter of 2014; this quarter, mobile ads alone accounted for $3.35bn. Its total of 1.55 billion monthly active users – equivalent to nearly one-fifth of the world’s population – is 14 per cent higher than a year ago and the site now averages more than a billion users every day.
“We had a good quarter”, Mark Zuckerberg, Facebook’s founder and CEO, said in a prepared statement.
Mobile ad revenue soared 73% in Q3, while revenue from ads shown on a PC screen declined by 7.3% The reason why mobile is so important to Facebook was explained by Chief Operating Officer Sheryl Sandberg. “We’re also pretty focused on helping bring the next set of people who are not online, online”.
Shares of Facebook Inc (NASDAQ: FB) gained around 2 percent in after-hours trading after the company reported better-than-expected earnings for the third quarter on Wednesday. Facebook first broke the 1 billion monthly user barrier towards the end of August this year.
Revenues leapt 41% from a year ago to $4.5 billion. Meanwhile the company continues to see a majority (78-percent) of its ad revenue come from mobile.
The firm also confirmed another surpassed landmark, with 1.5 billion active users logging on every month.
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For the third quarter, Facebook reported net income of $896 million US, or 31 cents a share, up from $806 million USA, or 30 cents per share a year earlier. “So there’s a lot of room to expand that and that’s just a big opportunity for the internet overall and for India over the next decade and we hope to play a role in that”, he said.
