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Advertisement revenues back Facebook’s profit in second-quarter

Monthly, daily active users increase by over 20 per cent.

Social networking site Facebook has posted a net income of $333m for the second-quarter ended 30 June 2013, compared to a net loss of $157m for the same period last year, primarily due to growth in advertising revenues.

Overall revenue grew by 53 per cent to $1.81bn from $1.18bn in 2012.

During the quarter, revenue from advertising increased by 61 per cent to $1.60bn compared to same quarter last year, with mobile advertising contributing approximately 41 per cent. Payments and other fees revenue increased by 11 per cent to $214m.

Income from operations was $562m in the second-quarter of 2013, compared to loss from operations of $743m for the same period last year. Operating margin was 31 per cent in the second-quarter, compared to negative 63 per cent in the same period last year.

Capital expenditures declined by 25 per cent to $268m in the second-quarter, compared to the second-quarter last year.

The company’s daily active users (DAUs) were 699 million on average in the second-quarter, a year-over-year growth of 27 per cent. Monthly active users (MAUs) reached 1.15 billion in the second-quarter, a growth of 21 per cent.

Mark Zuckerberg, founder and CEO of Facebook, said: “We’ve made good progress growing our community, deepening engagement and delivering strong financial results, especially on mobile. The work we've done to make mobile the best Facebook experience is showing good results and provides us with a solid foundation for the future.”