Facebook has released better-than-expected results for the third quarter, but the group’s shares were lower in after-hours trade, negatively affected by its 2018 expense forecast. Revenues for the period came in at $10.3bn, 47% higher than that reported a year ago and beating expectations of an increase to $9.84bn. This uptick was mainly attributable to a 49% surge in ad sales to $10.1bn, with mobile sales accounting for 88% of all sales. Overall, net income surged to $4.7bn, much higher than the $2.63bn recorded in the previous corresponding period. On a per share basis, adjusted earnings stood at $1.59, easily surpassing estimates of $1.28.
Facebook was sharply higher in after-hours trade on Wednesday, buoyed by the release of better-than-expected 2nd quarter results. During the period, revenues came in at $9.32bn, marginally higher than estimates of an increase to $9.2bn. This uptick was mainly attributable to a 53% increase in mobile ad sales, with the figure totalling $8bn during the quarter. The group also showed the price of an ad increased by 24%, while the number of ads grew by 19%. Overall, Facebook recorded adjusted earnings per share of $1.32, sharply higher than expectations of $1.13. Other highlights included its number of monthly active users standing at 2.01bn at the end of the period, above expectations of 1.98bn.
On Wednesday, Facebook released quarterly results which easily surpassed analysts’ expectations. During the period, the group recorded a 53% increase in revenue to $8.81bn, up from the $5.84bn recorded a year ago and better-than-expectations of an increase to $8.51bn. Consequently, Facebook saw 4th quarter earnings surge to $3.56bn, or $1.21 per share, an increase of 128% compared to the $1.56bn, or 54 cents a share, reported a year ago. After adjustments, earnings came in at $1.41 per share, easily beating expectations of $1.31 per share and sharply higher than the 79 cents recorded in the previous corresponding period.
On Friday, Facebook shed 0.65% to close at $117.02 during the normal session, before gaining more than 1% in after-hours trade following its announcement that it would launch its first share buyback program. As it stands, the social media giant will set up a $6bn buyback program, with the program set to start during the 1st quarter of 2017. This comes as the group seeks to appease shareholders who are waiting for results in some of the group’s new potentially risky growth areas. Facebook currently has around $26bn in cash and marketable securities and will deploy some of that in its buyback program, while using the rest to grow the business.
On Wednesday, Facebook shed 1.8% to close at $127.17 during the normal session, but traded sharply lower in after-hours trade following the release of its latest quarterly results. This comes in spite of the group’s better-than-expected results, with revenue surging by 56% to come in at $7.01bn, beating estimates of an increase to $6.92bn. As a result, the social media giant has now surpassed revenue estimates for the 6th consecutive quarter. In addition, Facebook reported that adjusted earnings increased to $1.09 per share, sharply higher than estimates of 97 cents per share. The sharp decline in its share price can be mainly attributed to comments that it expects lower growth during the upcoming quarters.
On Wednesday, Facebook gained 1.75% during the normal session, but surged in after-hours trade after the group easily surpassed analysts’ expectations. During its 2nd fiscal quarter, the group saw revenue increase by 59.2% to $6.44bn, sharply higher than expectations of an increase to $6.02bn. As a result, net income attributable to shareholders increased to $2.05bn, or 71 cents a share, up from $715mn, or 25 cents a share, a year earlier. Excluding items, Facebook saw earnings increase to 97 cents per share, blowing away expectations of an increase to 82 cents per share. Lastly, Facebook’s main revenue stream, add revenue, performed exceptionally well as it increased to $6.24bn, surpassing estimates of an increase to $5.8bn.
Facebook surged more than 9% in after-hours trading on Wednesday after the group crushed estimates in its first quarter results. For the period, Facebook reported earnings of 77 cents per share, sharply higher than expectations of an increase to 62 cents per share. In addition, revenue came in at $5.38bn, compared to estimates of $5.26bn. This can be mainly attributed to the 57% year-on-year increase in Facebook’s advertising revenue to $5.2bn, while the monthly active users metric came in at 1.65bn, exceeding expectations of 1.63bn. Lastly, the group proposed the creation of new class C shares, whereby shareholders would get two class C shares for each class A or B shares they owned.
With US earnings season now fully under way, Facebook became the most recent high-profile company to deliver fourth quarter results. After falling by 2.97% in the regular session, Facebook’s shares surged more than 12% in after-hours trading. This was after the group announced it had easily topped analysts’ expectations. For the period, the group reported earnings of 79 cents per share on revenue of $5.84bn, beating expectations of earnings of 68 cents per share and revenue of $5.37bn. When compared to the previous period a year ago, earnings increased by 46%, while revenue came in 52% higher. Lastly, Facebook’s total active monthly users grew to 1.59bn, above estimates of 1.58bn.
Continue reading Facebook delivers outstanding results
Yesterday, Facebook’s valuation inched closer to the $300mn mark, as investors cheered better-than-expected third quarter results and an increase in its user base. During the quarter, Facebook saw a 14% increase in the number of monthly active users to 1.55bn, while the number of daily active users grew by 17% to 1.01bn. In addition, the group reported revenues of $4.5bn, above expectations of an increase to $4.37bn, boosted by a 45% jump in advertising revenue to $4.3bn. Mobile ad revenue accounted for 78% of the figure, up from 66% in 2014. Lastly, the group reported earnings per share of $0.57 for the quarter, beating estimates of an increase to $0.52 cents.
Continue reading Facebook: Market “likes” the results
After adding 1.78% during the regular session on Wednesday, Facebook fell about 5% in after-hours trading following its 2nd quarter results release. However, Facebook did pare some of the losses as traders digested the numbers, which in fact showed that the company had beaten analyst estimates on almost every metric. For the period, earnings came in $0.50, versus expectations of $0.47, while revenues increased to $4.04bn, above forecasts of $3.99bn. In addition, the company saw monthly active users of 1.49bn, while daily average users came in at 968mn, above expectations of 1.48bn and 960mn respectively. Lastly, average revenue per user grew to $2.76, more than forecasts of an increase to $2.70.