Facebook on Wednesday posted better-than-expected results for the first quarter on greater numbers of new users and higher advertising revenues, particularly from mobile ads.
The Menlo Park, Calif.-based firm said that it had reached 1.65 billion monthly active users and reported a 52% rise in overall quarterly revenue to $5.38 billion. Mobile ads represented roughly 82% of advertising revenue for the first quarter, up from 73% of advertising revenue a year ago.
Non-GAAP net income rose 87% to $2.2 billion, or 77 cents per diluted share, beating analysts’ expectations’ of 62 cents per share. GAAP net income, which includes amortization of intangible assets, share-based compensation, and related payroll tax expenses, was 52 cents per share.
“We had a great start to the year,” said Mark Zuckerberg, Facebook founder and CEO. “We’re focused on our 10-year roadmap to give everyone in the world the power to share anything they want with anyone.”
Facebook’s numbers are in stark contrast to those of Twitter, according to TechCrunch, Twitter added 5 million users this quarter; Facebook added 12 times that many.
Facebook’s average revenue per user worldwide rose 32%, but in the “Rest of World” region, which includes developing countries, ARPU fell quarter-to-quarter and rose 13.8% from the first quarter one year ago.
“That indicates Facebook may be adding users in the developing world faster than it’s able to effectively monetize them,” TechCrunch wrote.
Facebook also announced that its board had approved the creation of a new class of non-voting capital stock, known as the Class C capital stock. The move, according to USA Today, lets Zuckerberg sell Class C shares to fund philanthropic endeavors without losing voting control of Facebook.