Facebook's stock price shot up almost 20% off the back of its second quarter results. And it looks set to become all about mobile, which now makes up 41% of the company's ad revenues.
The social media giant reported Q2 revenues of US$1.81 billion, up 53% on Q2 2012. The revenue uptick is good news for investors after Facebook faced a downturn in Q1.
The company recorded a profit of US$333 million for the quarter compared with a Q2 2012 loss of US$157 million.
Ad revenue made up 88% of total revenues at US$1.59 billion for Q2, up 61% from the previous corresponding period. Mobile ad revenues accounted for 41% of all ad revenues which, extrapolated, was US$651 million. In Q1, mobile ad revenues were 30% of total ad revenues. Facebook only introduced advertising to its mobile platforms early last year.
Mobile was a key pillar for Facebook in the latest results and not just from a monetary perspective. Of its 1.15 billion monthly active users globally, 819 million of them were also on mobile, up from 543 million a year ago. Facebook had 469 daily active users on mobile, up from 293 million a year ago and, significantly, there were 219 million mobile-only monthly active users, more than double last year's 102 million.
Overall, Facebook had 699 million daily active users, up from 552 million last year.
Following the results announcement, Facebook's stock price shot up almost 20%, according to AFP.
Other milestones in the last quarter included Facebook surpassing 1 million active advertisers, driven by growth in local businesses and following the introduction of Instagram video, 5 million videos were uploaded in the first 24 hours.
Facebook founder and chief executive Mark Zuckerberg said: “We've made good progress growing our community, deepening engagement and delivering strong financial results, especially on mobile.
“The work we've done to make mobile the best Facebook experience is showing good results and provides us with a solid foundation for the future.”
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