Updated from 7:40 a.m. to include comments from Jim Cramer in the fifth paragraph.
The Menlo Park, Calif.-based company earned an adjusted 57 cents a share on $4.5 billion in revenue in the third quarter, including $4.3 billion revenue from advertising. Mobile has become the primary driver for Facebook's advertising business, with the company generating 78% of its advertising revenue from mobile.
About 1.55 billion people used Facebook every month, including 1.39 billion using it on mobile devices. More than 1 billion used the service every day, including 894 million used it daily on mobile devices, a rise of 27% year over year.
"We continue to be impressed with Facebook's advertising share gains and execution and we believe there are multiple catalysts on the horizon, including: 1) continued advertiser growth and adoption of newer ad formats; 2) Instagram monetization; and 3) longer-term catalysts around Oculus, Messenger, and WhatsApp," JMP Securities analyst Ron Josey wrote in a note to clients.
"Anyone on the call last night can't help but remember the initial calls out of the chute when Facebook came public, dismal calls about obscure advertisers, gaming companies, advertising on the site to get some meager customers," said TheStreet's Jim Cramer, Portfolio Manager of the Action Alerts PLUS Charitable Trust Portfolio. "It was all about Zynga back then. Now it is about Procter & Gamble, Clorox, and in one fabulous example on the call, Ikea, where a $35,000 investment in a Facebook campaign produced $2 million in online sales when the stores were physically closed. Direct response? Branding? How about return on investment through education and knowing the customer. Facebook is the way to get in touch with people."
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On the company's third-quarter earnings call, CEO Mark Zuckerberg said there were more than 8 billion video views every year from 500 million users -- up from just 4 billion per day in April.
Here's an infographic showing the size and scale of Facebook's properties, including Instagram, WhatsApp and Facebook Messenger: