January 27, 2016 Last Updated 3:24 pm

Facebook revenue climbs 44%, stock soars in after hours trading

The most successful company in mobile advertising is Google who will report earnings on February 1. The second is, of course, Facebook. Today they reported earnings and killed it, reporting a 44 percent increase in revenue and net income more than double the same period a year ago.

Facebook said that 80 percent of its ad revenue now comes from mobile.

Not surprisingly, Facebook stock is soaring in after hours trading today. It had been down nearly 3 percent as the US stock markets had another bad day. But the stock is currently up over 5 percent following the release of the earnings report.

Here is their release – read it and weep:


MENLO PARK, Calif. – January 27, 2016 — Facebook, Inc. today reported financial results for the fourth quarter and full year ended December 31, 2015.

“2015 was a great year for Facebook. Our community continued to grow and our business is thriving,” said Mark Zuckerberg, Facebook founder and CEO. “We continue to invest in better serving our community, building our business, and connecting the world.”

Full Year 2015 Business Highlights

  • Revenue – Revenue for the full year 2015 was $17.93 billion, an increase of 44% year-over-year.
  • Income from operations – Income from operations for the full year 2015 was $6.23 billion.
  • Net income – Net income for the full year 2015 was $3.69 billion.
  • Free cash flow – Free cash flow for the full year 2015 was $6.08 billion.
  • Daily active users (DAUs) – DAUs were 1.04 billion on average for December 2015, an increase of 17% year-over-year.
  • Mobile DAUs – Mobile DAUs were 934 million on average for December 2015, an increase of 25% year-over-year.
  • Monthly active users (MAUs) – MAUs were 1.59 billion as of December 31, 2015, an increase of 14% year-over-year.
  • Mobile MAUs – Mobile MAUs were 1.44 billion as of December 31, 2015, an increase of 21% year-over-year.

Fourth Quarter 2015 Financial Highlights

FB-Q!-2016

Fourth Quarter 2015 Other Financial Highlights

  • Mobile advertising revenue – Mobile advertising revenue represented approximately 80% of advertising revenue for the fourth quarter of 2015, up from 69% of advertising revenue in the fourth quarter of 2014.
  • Capital expenditures – Capital expenditures for the fourth quarter of 2015 were $692 million.
  • Cash and cash equivalents and marketable securities – Cash and cash equivalents and marketable securities were $18.43 billionat the end of the fourth quarter of 2015.
  • Free cash flow – Free cash flow for the fourth quarter of 2015 was $2.14 billion.

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