Facebook’s share price rose more than 6% after close of trading on Wednesday after the company released its first quarter earnings, beating Wall Street’s expectations for earnings and revenue.
Here’s how the social media giant performed in the quarter compared to the estimates made by Refinitiv:
- Merits: $ 3.30 per share versus a forecast of $ 2.37 per share
- Revenue: Expected $ 26.17 billion versus $ 23.67 billion
- Daily active users (DAUs): 1.88 billion versus 1.89 billion forecast by FactSet
- Monthly Active Users (MAUs): 2.85 billion versus 2.86 billion forecast by FactSet
- Average Revenue Per User (ARPU): $ 9.27 versus $ 8.40 forecast by FactSet
The company had revenue of $ 26.17 billion for the quarter, up 48% year over year. Facebook net income rose 94% from $ 4.9 billion a year ago to $ 9.5 billion.
Facebook attributed the significant increase in sales to a 30% increase in the average price per ad compared to the previous year and a 12% increase in the number of ads served.
The company also expects investments of $ 19 billion to $ 21 billion in 2021, down from the previous estimate of $ 21 billion to $ 23 billion.
In the US and Canada, Facebook’s user base was unchanged at 195 million daily active users for the second straight quarter. The user base in Europe increased from 308 million in the fourth quarter to 309 million daily active users.
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