Facebook beat Wall Street expectations for its second quarter earnings, posting $9.32 billion USD in revenue and 2.01 billion users, compared to estimates of $9.2 billion and 1.98 billion, respectively.
Revenue in this quarter in 2016 was $6.43 billion, marking a 45 percent increase. However, revenue growth was 59 percent year-over-year in Q2 2016, suggesting a slow down over Facebook’s warning to investors that it was running out of ad space in News Feed.
In terms of monthly active users (MAU), the 2.01 billion count is up from 1.94 last quarter. Daily active users have also risen to 1.32 billion, up from 1.28 billion the previous quarter. On the other hand, this growth was also lower than that of the year prior; the MAU growth in Q2 2017 was 3.6 percent, compared to 4.3 percent in Q2 2016.
Facebook’s profits, meanwhile, reached $3.894 billion in Q2, which is 71 percent year-over-year. Unsurprisingly, ads almost entirely made up total revenue, with $9.16 billion coming from this business practice. Of that number, a total of $8 billion (87 percent) of ad revenue came from mobile, compared to 85 percent last quarter and 84 percent one year prior.
Facebook’s Instagram, meanwhile, also continued its rapid growth during this quarter, reaching 700 million monthly active users in April. The Snapchat Stories-inspired Instagram Stories also reached 250 million daily users back in June.