Facebook’s financial growth exceeds Wall Street estimates

CEO Mark Zuckerberg is $3.4bn richer after social networking platform sees 59% increase

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Facebook’s financial growth exceeds Wall Street estimates Zuckerberg also spoke about Facebook's plans to deliver Internet access to remote parts of the world as it recently announced the first test flight of the solar-powered drone Aquila. (Getty Images)
By  Aasha Bodhani Published  July 28, 2016

Social network Facebook has released its second quarter earnings, revealing a 59% increase compared to the same period last year.

Facebook reported $6.44bn in revenue and $2.05bn in profit, this has not only exceeded Wall Street's expectations as shares rose by 6.5% but has also left CEO Mark Zuckerberg $3.4bn richer, making him the fifth-richest person in the world.

Facebook's monthly active users have reached 1.71 billion, which equates to a 15% increase compared to the second quarter last year. Furthermore, actively monthly mobile users have reached 1 billion and estimates suggest if the social network giant continues at this pace, Facebook could reach 2 billion by the end of next year.

One of its biggest beneficiaries was mobile advertising, as revenue accounted for 84% of the Facebook's overall advertising spend, which was 76% last year. With this said, the company has also shown it can grow and adapt, as it has taken on Internet and mobile platforms, such as WhatsApp and Facebook Messenger, which has each reached over 1 billion people.

Zuckerberg also spoke about Facebook's plans to deliver Internet access to remote parts of the world as it recently announced the first test flight of the solar-powered drone Aquila.

"We saw the first successful flight of Aquila to beam the internet to places that have never been connected," says Zuckerberg. "Eventually we plan to work with telecom operators around the world to connect people who cannot get traditional connectivity today."

Facebook has had a busy year so far, such as introducing end-to-end encryption on WhatsApp, redesigning Instagram, as well as new features on Facebook. Zuckerberg also revealed that Facebook will focus on new technologies, such as virtual reality and artificial intelligence.

He concluded with: "We have a saying here at Facebook: ‘Our journey is only 1% done'."

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