Facebook (FB) posts slow revenue growth, but stock climbs on Q3 earnings beat

Facebook (FB) reported better-than-expected third quarter earnings of $1.76 per share, despite a considerable increase in expenses. Analysts had expected just $1.46 per share, predicting that the higher expenses required to establish better privacy security would weigh on its bottom line.

Meanwhile, revenue saw one of its slowest quarterly growth of 33% and missed street consensus. While analysts were expecting Facebook to post revenue of $14.29 billion, the company managed just $13.7 billion.

Facebook Q3 2018 Infographic:   https://news.alphastreet.com/earnings-facebook-fb-shares-fb-q3-2018/ 

Mobile advertising revenue represented approximately 92% of advertising revenue for the third quarter of 2018, up from about 88% in the year-over period.

Daily Active Users (DAU) grew at a slower-than-expected pace to 1.49 billion. Monthly Active Users (MAU) were 2.27 billion as of September 30, 2018, an increase of 10% year-over-year. Wall Street had expected DAU of 1.51 billion and MAU of 2.29 billion.

“Our community and business continue to grow quickly, and now more than 2 billion people use at least one of our services every day,” said CEO Mark Zuckerberg. “We’re building the best services for private messaging and stories, and there are huge opportunities ahead in video and commerce as well.”