With Apple, Microsoft and Twitter all missing analyst predictions with their latest quarterly results, tech stocks have taken a big hit over the past week. But thanks to Facebook and its just released Q1 2016 results, at least one high-valued tech stock is doing well in after market trading.
On Wednesday, the social media giant announced its Q1 2016 financial results, crushing analyst predictions in the process.
Facebook now has 1.65 billion monthly active users, a 15 percent increase compared to the same time period last year. The vast majority of the company’s user’s — more than 1.51 billion — access the company’s platform via mobile devices. 1.09 billion people across the world visit Facebook every day. 989 million users access the social network while on a mobile device, representing a 16 percent increase over the same time period in 2015.
Compared to Q1 2015 results, Facebook’s revenue grew 51 percent, growing from 3.54 billion in Q1 2015 to 5.38 billion in Q1 2016. Net income grew an even more impressive 192 percent, surging from 512 million Q1 2015 to 1.51 billion Q1 2016.
Much of that growth is thanks to the company’s advertising division. In Q1 2016, the company made $5.2 billion in advertising revenue, a 57 percent increase year on year. Advertising revenue derived from mobile increased to approximately 82 percent of total advertising revenue. During the same time period last year, that number was closer to 73 percent.
“We had a great start to the year,” said Facebook CEO and founder Mark Zuckerberg in a statement issued to MobileSyrup. “We’re focused on our 10 year roadmap to give everyone in the world the power to share anything they want with anyone.”
Zuckerberg also announced the company has proposed a new Class C stock. Should the company’s shareholders approve the proposal, they’ll get two class C shares for each class A or class B share they own. According to CNBC, the move is designed to allow Zuckerberg to sell some of his stock while maintaining control of the company.