Arab Today, arab today facebook social network profit dips
Last Updated : GMT 18:26:44
Arab Today, arab today
Arab Today, arab today

Expenses bite into revenue

Facebook social network profit dips

Arab Today, arab today

Arab Today, arab today Facebook social network profit dips

Facebook monthly active users grew
San Francisco - Arab Today

Facebook reported a dip in its quarterly profit Wednesday but said revenues surged on mobile advertising gains, as its user base neared 1.5 billion.

The world's biggest social network saw higher expenses cut into its bottom line, as it invests in new technologies and seeks to build a "family" of applications.

Net profit for shareholders dropped nine percent from a year earlier to $715 million.

But total revenues surged 39 percent to $4.04 billion on big gains from advertising, chiefly from paid messages delivered to mobile devices.

Facebook like other global companies was hurt by the rising dollar, saying that revenues would have been up 50 percent without the impact of currency changes.

Monthly active users grew 13 percent from a year ago to 1.49 billion, but the gain was modest from the first quarter when it had 1.44 billion. The number of mobile active users rose to 1.31 billion.

"This was a good quarter for us," said Facebook founder and chief executive Mark Zuckerberg on a conference call on the results.

"We have continued to make good progress in the growth of our community."

Amid ongoing growth in Facebook, the company has been expanding its offerings of applications, including the photo-sharing service Instagram, the messaging service WhatsApp and virtual reality gearmaker Oculus.

Facebook's capital spending in the quarter was $549 million. Its research and development costs were $1.17 billion.

Overall expenses were up 82 percent, driven in large part by stock compensation linked to its multibillion-dollar acquisition of WhatsApp.

- Ad revenues accelerate -

The big gains in revenue came from advertising, up 43 percent from a year ago.

Mobile accounted for 76 percent of ad revenues in the quarter, up from 62 percent a year earlier and 73 percent in the first three months of the year.

Facebook shares dipped 2.2 percent to $94.85 in after-hours trade following the results, even though most of the figures were ahead of market expectations.

Facebook shares have been hovering near record highs in recent weeks.

Analysts have said the newly acquired services such as Oculus and Instagram are not delivering meaningful revenues now, but could build a base for future growth.

"Our main focus is on helping our existing communities and businesses reach their full potential," Zuckerberg said.

Facebook itself has been a rising star in online advertising.

It accounted for 7.9 percent of worldwide digital ad revenues in 2014, up from 5.8 percent in 2013, according to the research firm eMarketer, which predicts its share will reach nine percent by the end of this year.

Chief operating officer Sheryl Sandberg said a big growth area for Facebook advertising was video ads, helped by Facebook's technology that allows marketers to get information on who is viewing the ads and how many are responding by buying the products they see.

"Video ads are a natural part of the Newsfeed experience," she told the call. "And we can do targeting in a way that is really unique."

In one example, Sandberg said the hamburger chain Wendy's was able to deliver specific video ads to young Facebook users or "millennials" who liked spicy foods.

Instagram has only recently begun to deliver advertising, and eMarketer expects the service to take in $595 million this year and $2.8 billion by 2017.
Source: AFP

arabstoday
arabstoday

GMT 06:26 2017 Thursday ,21 September

Qatar hits 5-year low as diplomatic rift hit

GMT 14:39 2017 Tuesday ,19 September

Catherine proud for contract with Morocco

GMT 20:39 2017 Wednesday ,13 September

Al Shamri calls for supporting the Islamic

GMT 03:58 2017 Wednesday ,13 September

Saudi is ready to expand production cuts

GMT 09:43 2017 Sunday ,10 September

Workplace safety key concern

GMT 18:47 2017 Sunday ,03 September

Diplomat underlines importance of visit

GMT 17:39 2017 Saturday ,02 September

Minister underlines support for OPEC cut deal

GMT 19:47 2017 Friday ,01 September

MP blames government for performance
Arab Today, arab today
Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today facebook social network profit dips Arab Today, arab today facebook social network profit dips

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today facebook social network profit dips Arab Today, arab today facebook social network profit dips

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today unveils Joon - the 'millenials' airline

GMT 13:36 2017 Saturday ,23 September

unveils Joon - the 'millenials' airline
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today US-made bomb used in fatal strike

GMT 10:16 2017 Saturday ,23 September

US-made bomb used in fatal strike
Arab Today, arab today Saudi Arabia to unblock internet calling apps

GMT 11:31 2017 Wednesday ,20 September

Saudi Arabia to unblock internet calling apps
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today All eyes on May as she prepares

GMT 10:16 2017 Friday ,22 September

All eyes on May as she prepares
Arab Today, arab today Puerto Rico, Virgin Islands brace

GMT 12:01 2017 Wednesday ,20 September

Puerto Rico, Virgin Islands brace
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Carmakers face billions in European

GMT 12:37 2017 Saturday ,23 September

Carmakers face billions in European
Arab Today, arab today Mercedes pumps 1 bln euros    

GMT 06:04 2017 Friday ,22 September

Mercedes pumps 1 bln euros    
Arab Today, arab today Lebleba is preoccupied in filming 'Back Street'

GMT 08:56 2017 Thursday ,21 September

Lebleba is preoccupied in filming 'Back Street'
Arab Today, arab today France hopeful of persuading Trump

GMT 06:21 2017 Wednesday ,20 September

France hopeful of persuading Trump

GMT 08:59 2017 Wednesday ,20 September

Youssra prepares for launching her program

GMT 18:09 2017 Thursday ,21 September

China lifts 10-year travel ban

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 08:39 2017 Friday ,22 September

New Hurdles as Republicans Rush

GMT 06:49 2017 Friday ,22 September

O'Leary: Could ground more planes

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:46 2017 Thursday ,21 September

Google likely to buy stake in Taiwan smartphone maker HTC

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday