Tencent Securities News Beijing time in the early morning news, according to CNBC reported that the US social networking giant Facebook Inc released the company's second quarter 2017 results after the close of the US stock market on Wednesday.
Facebook Inc's net profit rose sharply in the second quarter from a year earlier, mainly due to a surge in sales of mobile video advertising, compared with larger competitor Alphabet Inc-CL C, according to the report. Facebook Inc's revenue grew more than twice as much in the quarter.
As a result, Facebook Inc rose more than 1% in after-hours trading on Wednesday and 6.18% in pre-market trading on Thursday, offering $165.610.
The following is a summary of Facebook Inc's second quarter results:
Net profit was $3.89 billion, compared with $2.28 billion in the same period last year.
Earnings per share: $1.32, compared with analysts' average expectations of $1.13, according to a Thomson Reuters poll
Revenue: $9.32 billion, compared with analysts' average expectations of $9.2 billion, according to a Thomson Reuters poll
Mobile ad revenue: $8 billion, compared with analysts' average expectations of $7.68 billion, according to a StreetAccount survey
Number of monthly active users: 2.01 billion, compared with an average of 1.98 billion expected by analysts in the StreetAccount survey
Capital expenditure: $1.44 billion, compared with analysts' average expectations of $1.73 billion, according to the StreetAccount survey.
Facebook Inc has been adding more video and display ads to the company's mobile apps as more and more consumers start surfing the Internet through smartphones. Facebook Inc is expected to launch a short video program similar to TV this summer.
Mobile ad sales now account for the majority of Facebook Inc's revenue, reaching $8 billion in the second quarter, exceeding analysts' expectations.
The digital video advertising market (excluding traditional TV ads) is expected to grow 17% this year to $11.7 billion, according to research firm eMarketer.
Facebook Inc's revenue growth rate is twice that of Alphabet's Alphabet Inc-CL C division, which reported a 19 per cent increase in second-quarter sales earlier this week.
Facebook Inc's share price has risen more than 40% so far this year, equivalent to that of Nasdaq.Comprehensive indexMore than double the increase over the same period.