Social networking site Facebook may now boast over 1 billion monthly active users, but what do those users actually give the social network in terms of profits? Well, the social network has beaten analyst expectations in their second earnings report after going public.
Analysts polled by Thomson Reuters expected Facebook to earn $0.11 per share on sales of $1.23 billion, but the social network reported third quarter earnings of $0.12 per share on revenues of $1.62 billion, and increase of 32% from their $954 million in the same quarter of 2011. Advertising remains the king of Facebook, as their main source of income, bringing in 86% of total revenue. Mark Zuckerberg, CEO and Facebook founder said:
As proud as I am that a billion people use Facebook each month, I'm also really happy that over 600 million people now share and connect on Facebook every month using mobile devices. People who use our mobile products are more engaged, and we believe we can increase engagement even further as we continue to introduce new products and improve our platform. At the same time, we are deeply integrating monetization into our product teams in order to build a stronger, more valuable company.
Further Reading: Read and find more Business, Financial & Legal news at our Business, Financial & Legal news index page.