Today, Facebook released its results for the third quarter. With $2.02 billion in revenue, the company beat expectations and its share price surged, rising at least 10% in after-hours trading.
The world’s largest social network continued to post impressive figures–for one, monthly active users shot up 18%, to 1.19 billion. But perhaps the most impressive number is from Facebook’s mobile growth. According to its earnings report, monthly mobile active users jumped to 874 million, a 45% uptick year-over-year. What’s more, mobile revenue accounted for nearly half of Facebook’s total advertising revenue for the quarter, a sign that CEO Mark Zuckerberg has impressively answered his harshest critics with gusto.
It’s a remarkable feat for the company, which had long been chastised for not doing enough to spur growth in mobile, where most of its users were gravitating. During the same quarter last year, mobile ad revenue represented just 14% of Facebook’s total advertising revenue, or $152.6 million. Now, mobile represents 49% of Facebook’s ad revenue, or $882 million–a roughly 478% increase in mobile revenue, year-over-year.
For Facebook users, the growth perhaps comes as no surprise, with ads now peppered throughout the company’s mobile apps. For shareholders, though, the growth is welcome news–and it serves as a sign of more to come, with Facebook expected to launch more video ads on its service, and the roll out of Instagram sponsored ads already underway.AC