Facebook quarterly profit doubles as user ranks grow

(San Francisco) -- Facebook quarterly profit more than doubled as its ranks swelled during the past year to a mammoth user base of nearly 1.6 billion, it said Wednesday.

See Full Article

"Our community continued to grow and our business is thriving," said Facebook co-founder and chief executive Mark Zuckerberg in releasing quarterly results for the world's biggest social network which comfortably exceeded expectations.

It reported a profit of $1.56 billion in the final three months of 2015 as compared with making $701 million in the same period a year earlier.

Revenue in the quarter that ended on December 31 rose to $5.84 billion from $3.85 billion the prior year.

The results showed Facebook's growing power in online advertising, especially on mobile devices. Mobile accounted for about 80 percent of the network's ad revenue in the quarter.

Net profit for the full year climbed to $3.7 billion from $2.9 billion in 2014, while revenue jumped to $17.9 billion from $12.5 billion.

"2015 was a great year for Facebook," Zuckerberg said.

"We continue to invest in better serving our community, building our business, and connecting the world."

An average of 1.04 billion people used Facebook daily in December in a 17 percent rise from the same month the prior year.

The number of monthly active users in December was 1.59 billion, in a 14 percent climb from a year earlier, according to the social network.

Facebook shares soared more than 12 percent to $106 in after-market trades that followed release of the earnings figures.

Ongoing innovation

California-based Facebook has been relentlessly innovating to keep its social network tuned to Internet-age lifestyles.

The company has been working its way into online commerce, honing ad technology, ramping up video, and even dabbling with building machine smarts in its Messenger smartphone messaging application.

Facebook-owned Oculus this month began taking orders for much-hyped Rift virtual reality head gear, set to begin shipping later this year.

Zuckerberg said during an earnings call that he is happy with pre-orders for Rift, which was priced at $599, but did not disclose specifics.

"It is ultimately going to change the way we communicate and live and work in addition to how we play games," Zuckerberg said of virtual reality.

"I think we are off to a good start."

Also this month, Facebook announced a drive to be a place for sports, with a new online hub for news and sharing on sporting events.

The "Facebook Sports Stadium" will offer live updates of scores, posts from friends and commentators, as well as information on where to watch games live.

Facebook also recently announced an agreement with Nielsen to improve how it measures the social media impact of TV shows, a useful means of assessing the size of an audience.

Nielsen created an indicator called the Nielsen Twitter TV Ratings in 2013 after long being criticized for failing to adapt to the changing ways in which people watch television.

It allowed Nielsen to measure the number of Internet users sending tweets while watching a program, and also the number of people who see those tweets.

Now this tool is being expanded to include Facebook comments.

Industry tracker eMarketer expects Facebook to continue to dominate when it comes to online display advertising.

It expected Facebook to bring in $9.86 billion in US display ad revenue this year, capturing 30.6 percent of the money spent on those types of ads in the country.

"Everything we hear from agencies and marketers is positive," said eMarketer principal analyst Debra Aho Williamson.



Advertisements

Latest Tech & Science News

  • U.S. government backs down on request for visitor logs of Trump protest website

    Tech & Science CBC News
    The U.S. government is revising its request for data from an anti-Trump protest site to exclude a log of its visitors, according to a brief filed in Superior Court today, saying it has "no interest" in the records. Source
  • Researchers harness human waste to make products in space

    Tech & Science CBC News
    Deep space missions come with challenges, not the least of which is limited storage space. But scientists are finding ways to reduce the amount of supplies and costly shipments astronauts need on missions, partly by making use of what's already on hand — including human waste. Source
  • Researchers harness human urine to make products in space

    Tech & Science CBC News
    Deep space missions come with challenges, not the least of which is limited storage space. But scientists are finding ways to reduce the amount of supplies and costly shipments astronauts need on missions, partly by making use of what's already on hand — including human waste. Source
  • Two newest astronauts moonstruck as Canada looks beyond space station

    Tech & Science CTV News
    MONTREAL -- Canada's two newest astronauts are already looking beyond the International Space Station as they begin two years of intense basic training. Joshua Kutryk points out that Canada is committed to the space station until 2024 along with its international partners. Source
  • Farming has changed climate almost as much as deforestation

    Tech & Science CBC News
    Agriculture has contributed nearly as much to climate change as deforestation by intensifying global warming, according to U.S. research that has quantified the amount of carbon taken from the soil by farming. Some 121 billion tonnes (133 billion tons) of carbon have been removed from the top two metres of the earth's soil over the last two centuries by agriculture at a rate that is increasing, said the study in PNAS, a journal published by the National Academy of Sciences. Source
  • Water down your whisky for better flavour: scientists

    Tech & Science CBC News
    On the rocks, neat, or with water? Ask whisky fans and you'll find it's a contentious topic. However, researchers in Sweden say mixing your scotch with water is the best way to maximize the flavours. Source
  • Parents warned to monitor teen use of app Sarahah

    Tech & Science CTV News
    WINNIPEG - The Canadian Centre for Child Protection is warning parents of the dangers of an app popular with teens called Sarahah. The app allows users to send anonymous "constructive criticism" to friends and co-workers, but critics say it has turned into a platform for cyberbullying and harassment. Source
  • Canada's new astronauts take tips from veterans in space

    Tech & Science CBC News
    Canada's two new astronaut recruits will get a chance to pick the brains of the experienced astronauts currently working aboard the space station today. They'll also speak publicly for the last time before heading for two years of intensive basic training at Johnson Space Center in Houston, Texas. Source
  • Google's next version of Android will be called 'Oreo'

    Tech & Science CBC News
    An upcoming update to Google's Android software finally has a delectable name. The next version will be known as Oreo, extending Google's tradition of naming each version after a sweet treat. L’ready or not, you’ve made it to the sweet treat hall of fame. Source
  • After Lollipop. Marshmallow and Nougat, here comes Oreo

    Tech & Science CBC News
    An upcoming update to Google's Android software finally has a delectable name. The next version will be known as Oreo, extending Google's tradition of naming each version after a sweet treat. L’ready or not, you’ve made it to the sweet treat hall of fame. Source