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Facebook beats earning expectations, now has 1.7 billion monthly users

LOS ANGELES — Facebook handily beat analyst expectations during its most recent quarter, raking in US$6.44 billion (S$8.7 billion) in revenue during three months that ended June 30. Facebook generated US$4 billion in revenue during the same quarter last year.

Facebook had 1.13 billion daily active users across desktop and mobile in June of 2016, compared to 968 million during the same month last year. Photo: Reuters

Facebook had 1.13 billion daily active users across desktop and mobile in June of 2016, compared to 968 million during the same month last year. Photo: Reuters

LOS ANGELES — Facebook handily beat analyst expectations during its most recent quarter, raking in US$6.44 billion (S$8.7 billion) in revenue during three months that ended June 30. Facebook generated US$4 billion in revenue during the same quarter last year.

The company’s net income for the quarter was US$2 billion, compared to US$719 million a year ago. This equals adjusted earnings of US$0.97 per share. Analysts had expected earnings per share to come in at US$0.82.

Facebook also broke records in usage metrics, again: The company had a whopping 1.71 billion monthly active users in June, compared to 1.49 billion monthly actives a year ago.

Facebook had 1.13 billion daily active users across desktop and mobile in June of 2016, compared to 968 million during the same month last year. Daily mobile users increased to 1.03 billion, up from 844 million last year.

But Facebook’s record earnings were not just driven by higher user numbers. The company also aggressively grew its mobile advertising revenue, which now accounts for 84 per cent of all of its advertising revenue, compared to 76 per cent a year ago.

And Facebook is continuing international growth as well, including in Europe, where it surpassed US$1 billion in advertising revenue for the quarter for the first time in its corporate history.

Facebook CEO Mark Zuckerberg made a point of mentioning video as a key revenue driver in the company’s earnings release as well as during the earnings call. “We see a world that is video first,” he said. “We’ve been particularly focused on live video.” However, Facebook did not reveal any data on live video viewing on Wednesday. VARIETY.COM/REUTERS

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