On Wednesday, Facebook revealed its financial results related to the first quarter of 2019. Despite the problems the company has been facing, it managed to surpass Wall Street expectations and also announced that it is saving cash for a fine that will be demanded by the US Federal Trade Commission (FTC), which is expected to be around $ 3 to 5 billion.
If it comes to fruition, it will be the largest fine ever applied by the FTC in history and is related to the 2018 scandal involving Cambridge Analytica, with the social network being accused of allowing misuse of information from its users. In addition, the Zuckerberg company is being blamed for the spread of hatred within the platform, which culminated in the Myanmar genocide.
According to Facebook, if the fine was not considered, its earnings per share would have hit the $ 1.89 mark – significantly higher than analysts’ expectations of $ 1.62. Facebook’s shares rose about 5% after the release of the financial result, to $ 192 per share.
With respect to revenue, the company claims to have obtained US $ 15.08 billion, a figure higher than the expected US $ 14.97 billion. Still, it shows a 26% increase over the same period of the previous year. Earnings per share (known as GAAP) was $ 0.85 – lower than the estimated $ 1.62.
Parallel to the information pertinent to its financial performance, Facebook also revealed that 1.56 billion active users were registered daily in the social network (which is according to expectations) and 2.38 billion monthly active users, this number slightly higher than the expected 2.37 billion. Thus, by adding all active users daily on its social platforms, the company registered 2.1 billion active users daily (greater than the expected 2 billion), while active monthly users remained at 2.7 billion.
The data released by Facebook also show that the social network began to show growth of its user base in Europe again, after having suffered some losses last year.
Apparently, Zuckerberg’s company is gradually overcoming the scandals surrounding it. This can be noted, mainly, with their actions that were worth around $ 183 a unit before the announcement of the profits. That number is slightly lower than the $ 218 seen in July 2018, but well above the $ 123 mark recorded in December.