Surprise increase sends stock up 10%
Facebook’s many bears did a double take Tuesday as gains in mobile advertising propelled revenue up 32% last quarter to $1.26 billion.Total ad sales jumped 36% to $1.09 billion with 14% from mobile. The giant social network, which has been pummeled by bad press since a botched IPO earlier this year, saw its shares jump nearly 10% to $$21.39 in after-hours trading. Facebook posted a net loss of $59 million vs. a $227 million profit the year before. “As proud as I am that a billion people use Facebook each month, I’m also really happy that over 600 million people now share and connect on Facebook every month using mobile devices,” said Mark Zuckerberg, Facebook founder and CEO, in a statement. “People who use our mobile products are more engaged, and we believe we can increase engagement even further as we continue to introduce new products and improve our platform. At the same time, we are deeply integrating monetization into our product teams in order to build a stronger, more valuable company.” Facebook said monthly active users numbered 1.01 billion as of Sept. 30, up 26% year on year. Mobile users surged 61% to 604 million. The number of daily active users, 584 million, grew by 28%. The company launched several new advertising programs during the quarter, including Custom Audiences, Facebook Exchange, Offers and mobile app install ads.