Facebook exceeded expectations for second quarter results

The social media networking giant Facebook revealed its Q2 earnings on Wednesday (July 24, 2019). It went beyond the expectations of the Wall Street. Facebook’s (NASDAQ: FB) growth rate has amplified in the second quarter of the company.

According to the second quarter results, the revenue was $16.89 billion ahead of the Wall Street estimate of $16.5 billion. The reported earnings per share (EPS) was $1.99 ahead of the street estimate of $1.88. GAAP profits were 91 cents a share.

The Daily Active Users of Facebook were 1.59 billion up 8% year-on-year versus the expected amount of 1.57 billion.

As reported, the monthly Active Users were 2.41 billion, up 8% year-on-year versus the estimated amount of 2.42 billion.

The Costs and expenses of the company increased 39% year over year when excluding Facebook’s $2 billion of Federal Trade Commission (FTC) charge.

“We are investing in building strong privacy protections for everyone and on delivering new experiences for the people who use our services,” CEO Mark Zuckerberg stated in a statement.

The share price of Facebook closed at $204.66 on July 25, 2019. As reported by Business Insider, after announcing the Q2 financial results, the stock of Facebook rose as much as 5% higher in after-hours trading.

(Reference: The Motley Fool, CNBC, Business Insider, Barron’s)
(Image source: Dado Ruvic — Reuters)