This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Facebook Surges on Huge Q4 Beat

Updated from 4:18 p.m. to include additional analysis in the third paragraph and updated share price.

NEW YORK (TheStreet) Facebook (FB - Get Report) shares surged 8.3% to $57.96 after the world's largest social network reported fourth-quarter earnings that blew past Wall Street expectations.

The Menlo Park, Calif.-based social network earned 31 cents per share on $2.59 billion in revenue, as advertising revenue jumped 76% year-over-year to $2.34 billion. Facebook's mobile ad revenue accounted for 53% of advertising revenue, and revenue from other segments, including payments, was $241 million. Europe continued to be a huge area of expansion for Facebook, as revenue went from $538 million in the third-quarter to $727 million, up 25% sequentially.

Analysts surveyed by Thomson Reuters were looking for 27 cents per share on $2.33 billion in revenue.

"It was a great end to the year for Facebook," said Mark Zuckerberg, Facebook founder and CEO in a statement. "We're looking forward to our next decade and to helping connect the rest of the world." Facebook is holding a conference call at 5 p.m. to discuss the results.

Facebook ended the quarter with 1.23 billion monthly active users (MAUs), with more than 757 million daily active users (DAUs), up 22% year over year. Mobile continues to be a big driver for the company, and the company ended the quarter with 945 million MAUs, including 556 million DAUs, up 49% year over year.

Each U.S. and Canadian user drove $6.03 in average revenue for Facebook, up from $4.85 in the third quarter. The next highest region is Europe, at $2.61 in average revenue per user (ARPU).

At the end of the quarter, Facebook had $11.45 billion in cash and cash equivalents.

Shares finished the regular session lower, falling 1.6% to close at $53.53.

--Written by Chris Ciaccia in New York

>Contact by Email.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
FB $80.78 0.00%
AAPL $124.75 0.00%
GOOG $524.05 0.00%
TSLA $206.79 0.00%
YHOO $44.45 0.00%


DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs