Facebook now worth USD 190 billion, on par with IBM Corp
Published By : 24 Jul 2014 |Published By : QYRESEARCH
Thanks to Facebook Inc.’s increased mobile advertising business, the company’s revenue went up 61% during the second quarter, surpassing Wall Street’s financial targets. Share value also jumped to a record-high in afterhours trading. The No.1 social networking site saw a widening of profit margins and the interest from users and advertisers went up during the period. Facebook now has over 1.5 million advertising customers and a rough value of USD 190 billion, on par with International Business Machines Corporation (IBM).
The operating margins of the internet networking site grew from 31% in the second quarter a year ago to 48% this year, beating Wall Street’s expectations of USD 2.8 billion by generating USD 2.91 billion. In the second quarter of 2013, Facebook posted a net income of USD 333 million, which went up to a significant USD 791 million in the second quarter of 2014. The company’s earnings per share in the same duration also rose from 32 cents last year to 42 cents this year.
The number of monthly Facebook users went up to 1.32 billion this year, with 63% users accessing it daily. Its year-over-year advertising revenue increased 151% and this accounted for nearly 62% of Facebook’s total advertising profits.