Facebook Reports Huge Increase in Profit, Almost All of It Mobile

Over $2 billion in profit for the quarter, up from just $719 million a year ago. That’s amazing growth. Among their highlights:

  • Daily active users (DAUs) — DAUs were 1.13 billion on average for June 2016, an increase of 17 percent year-over-year.
  • Mobile DAUs — Mobile DAUs were 1.03 billion on average for June 2016, an increase of 22 percent year-over-year.
  • Mobile advertising revenue — Mobile advertising revenue represented approximately 84 percent of advertising revenue for the second quarter of 2016, up from approximately 76 percent of advertising revenue in the second quarter of 2015.

They’ve completely pivoted from a website meant for PC browsers to a mobile company with a slew of popular apps.

The New York Times puts this in context:

The rise was driven by strong mobile ad sales, as well as a steady ascent in its number of users. Facebook now counts 1.71 billion monthly active users, up 15 percent from a year ago. And in a sign of how indispensable the social network is to people, the amount of money the company can squeeze from each user globally jumped to $3.82, up from $2.76 a year earlier. In the United States and Canada, Facebook’s most valuable markets, the company makes an average of $14.34 per user.

★ Thursday, 28 July 2016