Facebook earnings: Profits jump, but user growth disappoints

The Technical Setup Into Facebook's Q3 Earnings Release

Facebook is still growing at a slow but steady pace

On Tuesday, Facebook posted third-quarter earnings per share of $1.76 on revenue of $13.73 billion, versus consensus estimates for EPS of $1.46 on revenue of $13.765 billion, according to FactSet. This beat analyst's projections of $1.46 a share and revenue of $13.77 billion.

Quarterly profit of $5.1 billion, or $1.76 per share, was up 9 percent and above the average per-share estimate of $1.48.

Facebook said that its family of social networking apps, including its main network plus sister apps Instagram and WhatsApp, now have more than 2.6 billion people using them each month - up 100 million from last quarter.

Those scandals, along with Zuckerberg's previous warnings about decreased user engagement, had already wiped away huge gains for the company.

From that day through the end of August, Zuckerberg sold 5.2 million shares of Facebook common stock for a total of nearly $935 million.

Crashed Lion Air jet may have been found, official says
Earlier this year it confirmed a deal to buy 50 new Boeing narrow-body aircraft worth an estimated $6.2 billion US. One black box from the jet was recovered, the head of Indonesia's National Transportation Safety Committee said.

But investors must have liked what they saw this afternoon, as shares perked up a bit in after-hours trading after a slight dip. It's now growing quickly and I think we'll be in a better position soon, but our effort to shift Facebook from News Feed first to Stories first hasn't been as smooth as I had hoped...

A growing share of its revenue came from Instagram, the photo-sharing app that Facebook bought in 2012, and from the "rest of the world" outside the US and Europe.

Maintaining growth in such developed markets as the U.S.is important because the new users that Facebook brings on in other parts of the world are usually in less-lucrative advertising markets. A Pew study in September found a marked decline in user engagement on Facebook.

Still, the company had warned its profit and revenue growth could be the slowest in years.

But it's not all bad news for Facebook.

OnePlus 6T Thunder Purple Colour Variant Renders Leaked Online
Now, Amazon India is offering flat Rs 1,000 cashback on the OnePlus 6T , and the amount will be added to your Amazon Pay wallet. It's the 8GB/128GB Mirror Black model of the phone, and it only has one SIM slot instead of the usual dual-SIM compatibility.

He anticipated 2019 would be an investment year of Facebook and that the company would continue to throw resources at the ongoing problems of fake news and privacy breaches.

Total expenses in the third quarter surged to almost $8 billion, up 53 percent compared with a year ago. Daily active users climbed nine percent year-on-year to 1.49 billion on average and monthly active users have climbed 10 percent to 2.27 billion. That having been said users aren't willing to swap their timelines for stories just yet and that present a problem.

Facebook has tried for years to make its mark on the SME business world and has undeniably great opportunities in areas such as peer-to-peer payments via Messenger as well as Zuckerberg's penchant for virtual reality and, lately, home audio and video hardware.

Big winners on Wall Street in recent years, Internet giants including Facebook, Amazon.com and Google parent Alphabet have suffered a battering over the last month.

"Facebook needs to become far more aggressive and proactive in cleaning up its core social network community because it has a corporate responsibility to make the environment safe for all users and companies", she said.

Get a free Starbucks holiday cup and a discount through January 7
Brewer said Starbucks realized that last year's cup design "didn't resonate with some, but it did resonate with others". In response, Starbucks said it works "to create a culture of belonging, inclusion and diversity".

Zuckerberg rarely mentioned competitors on past calls, but this time said Facebook Watch was "well behind" YouTube and that Apple's iMessage app was its biggest competitor to WhatsApp and Facebook Messenger. Which for investors that have been holding Facebook all year, that's going to be a good thing.

Latest News