Facebook Ends 2014 With $3.77Bn, According To Q4 Earnings
Facebook announced its fiscal fourth quarter earnings for 2014, which shows a revenue of $3.85 billion on Non-GAAP earnings per share (EPS) of $0.54. These figures have clearly beaten analysts’ expectations of $3.77 billion in revenue and $0.48 EPS.
The social media giant said it closed the year with 1.39 billion monthly active users, which means it was up by 13 percent compared to 2013, and 1.19 billion mobile monthly active users, up 26 percent from the same time a year ago. The hike in mobile users is partially due to the Facebook Messenger service that was enforced upon users, leaving little choice to not use it.
For all of 2014, Facebook reported revenue of $12.47 billion, up by a whopping 58 percent year over year.
Year over year, Facebook’s revenue is up by 48.9 percent over Q4 2013; in 2014, the company reported $2.59 billion in revenue and GAAP $0.03 EPS for the fourth quarter. Last quarter, Facebook had posted revenue of $3.2 billion and $0.43 EPS, up 58.4 percent from a year earlier.
Mobile ad revenues and user base
However for Wall Street, Facebook’s performance is not just about its total revenue for the quarter. To them, their interest lies in mobile ad revenues and user base growth rates.
So Facebook didn’t leave any space for disgruntlement for the Wall Street investors as well. The company has reported 2014 Q4’s mobile ad revenues accounted for 69 percent of its total of $3.59 billion in ad sales. Which means it was up 53.4 percent year-over-year. During Q3, Facebook’s ad revenue was $2.96 billion.
Payments and fees amounted to $257 million, up 6.64 percent from $241 million during Q4 2013.
Daily Active Users (DAU)
Facebook also said it had 890 daily active users during Q4, 64 percent of monthly actives. That percentage has held remarkably steady over the past four quarters, coming in at 63 percent in Q1 and Q2, and at 64 percent for Q3 and Q4.
Region wise revenues
Revenues in the United States and Canada summed up to $1.864 billion, 48.4 percent of all revenue.
In Europe, revenues totaled $1.03 billion, or 26.75 percent of all revenue.
In Asia-Pacific, it was $554 million, or 14.39 percent of total revenue.
The rest of the world accounted for just $403 million, or 10.46 percent of the total.
“We got a lot done in 2014. Our community continues to grow and we’re making progress towards connecting the world,” said Mark Zuckerberg, Facebook founder and CEO.
Such attractive earnings led to the investors to react as soon as possible, substituting Facebook’s stock up to $76.27 after its fourth quarter earnings for 2014 were announced.