Facebook reports strong Q1 2016 earnings driven by mobile advertising
Facebook just reported Q1 2016 earnings with $5.38bn in revenue. The lion share of that revenue came from advertising, reporting a 57% increase the year over. 82% of this growth can be attributed to mobile advertising.
The company also announced that monthly active users increased 15% to 1.65 billion in 2016. Mobile monthly active users shot up even higher – by 21% to 1.51 billion.
Results beat analyst expectations of $5.26bn.
Its average revenue per user (ARPU) for Q1 2016 was $3.32, a drop from the last quarter, but still a solid increase compared to the same period during the previous year.
Facebook average revenue per user
The company has been busy expanding its mobile advertising options and was named “undisputed leader in mobile advertising” by AppsFlyer. Additionally, Kenshoo recently highlighted that social ad spend on Facebook jumped by 8% quarter-on-quarter and 86% compared to the previous year. This can be attributed to its Dynamic Product Ads and Instagram properties.
Facebook has been busy expanding its ad options for the Messenger app to include more engaging chat features including bots.
Mark Zuckerberg, CEO, Facebook said:
“We had a great start to the year. We’re focused on our 10 year roadmap to give everyone in the world the power to share anything they want with anyone.”