After last week’s Snap scare, Facebook had a lot to live up to in its earnings report today. The social media giant missed on revenue, but narrowly bested analyst estimates on earnings.
The company posted EPS of $3.22 (analysts expected $3.19) and revenue of $29.01 billion (analysts expected $29.57 billion.) The company’s quarterly revenues were up 35% YoY.
The majority of that revenue (unsurprisingly) came from advertising, which comprised $28.28 billion (97.5% of revenue.) The remainder came from the company’s imaginatively-named ‘other’ category. However, to signal business moves to come, Facebook announced that it would add two new reporting segments related to apps and its “Reality Labs” business in Q4. It’s the best evidence we’ve seen that Facebook might actually change its name. 😲
The company reported that it had over 1.93 billion daily active users (DAUs), up 6% YoY. The platform’s monthly active user count inched close to 3 billion, also up 6% YoY.
Fears about Apple’s new privacy changes shook Facebook stock, along with other names in the Big Tech space, after Snap posted a pretty “meh” earnings report with an unfortunate outlook. 👎 $SNAP is down 27.4% in the last five trading days.
But those weren’t the only fears threatening Facebook. New whistleblower documents show that the company has made its fair share of mistakes. 😬
Despite the bad news, the stock is looking up and the company had good-lookin’ guidance to thank for that. $FB gained 4.5% today.