Daily Management Review

Facebook net profit grows twofold in Q1


In the first quarter of 2020, the net profit of the world's largest social network Facebook almost doubled in annual terms and amounted to $ 4.902 billion, the company said in a press release.

Diluted earnings per share were $ 1.71, compared with $ 0.85 a year earlier. Revenues of the social network rose 18% from the previous year to $ 17.737 billion with a forecast of 17.44 billion.

The company's revenue from advertising for the quarter was $ 17.44 billion, which is 17% higher than the previous year and higher than analysts' forecast of 17.36 billion. The number of daily active users of the social network in March 2020 increased by 11% in annual terms and amounted to 1.73 billion people. The number of active users in March grew in annual terms by 10% - up to 2.6 billion.

The company noted significant uncertainty associated with the COVID-19 coronavirus pandemic. Facebook said that in the last three weeks of the first quarter of this year, there has been a significant decrease in demand for advertising, and, as a result, a decrease in the cost of advertising. The social network does not provide revenue forecasts for the second quarter and 2020, but reports in its report on signs of stabilization of the level of advertising revenue in the first three weeks of April.

source: reuters.com