Facebook once again surpassed analyst expectations with its most recent quarter, bringing in a total of $7 billion in revenue during Q3 of 2016, compared to $4.5 billion during the same quarter a year ago. The company’s net income for the quarter was $2.34 billion compared to $896 million a year ago. This equals adjusted earnings of $1.09 per share.
Analysts had expected earnings of $0.96 per share and revenue of $6.9 billion.
Facebook also didn’t disappoint on the usage metrics front. The company reported that it had an average of 1.18 billion daily active users in September, compared to 1.01 billion a year ago. Daily mobile actives increased from 894 million to 1.09 billion.
Every month, Facebook now gets used by 1.79 billion users, with 1.66 billion of those users accessing the service from mobile devices. In fact, mobile usage is growing faster than Facebook’s overall user base: Mobile daily actives grew 22% year-over-year, while daily actives across all screens grew by 17%. This also marked the first quarter for the company ever to surpass more than one billion users who access Facebook exclusively with mobile devices.
Facebook’s mobile user growth also led to a huge continued growth in mobile ad revenue. 84% of the company’s overall advertising revenue now comes from mobile screens, compared to 78% a year ago.
Drilling down into Facebook’s geographic growth shows that the company continues to add users in the U.S., Europe, and Asia. But it’s seeing even more growth in what the company calls the “rest of the world,” meaning Central and South America as well as Africa, where its user base jumped from 308 million to 377 million daily actives over 12 months. That’s 22% growth, compared to just 6% growth for the same metric in the U.S. and Canada.
However, users in the U.S. and Canada still generate a lot more money for the company than users in these emerging markets. During the last quarter, Facebook generated an average of $15.65 for each user in the U.S. and Canada, compared to just $1.21 in these “rest of the world” markets.
Facebook CEO Mark Zuckerberg modestly called the results “another good quarter” in the company’s earnings release, and pointed to video as a key revenue driver: “We’re making progress putting video first across our apps and executing our 10 year technology roadmap.”
Some of this will include a bigger focus on video and photo sharing. Zuckerberg said during Facebook’s earnings call Wednesday that the company is testing a new feature that will offer direct access to the camera with one swipe within the main Facebook app — a feature that would be reminiscent of Snapchat.
But taking cues from Snapchat clearly seems to work for Facebook; Zuckerberg said Wednesday that Instagram’s stories feature is already being used by more than 100 million people every day.