Right now, do you know how much money Facebook is making per user? Whether you are spending money on Facebook or not, with its total sale of $6.44 billion and profit of $2.06 billion and 1.71 billion monthly active users, Facebook is making $3.82 per user, compared to $2.76 last year. Its most valuable markets are United States and Canada where Facebook is making on an average $14.34 per user. With these sort of profits, Facebook has beaten Wall Street estimates. The Wall Street had estimated Facebook revenue to be $5.80 billion. Total revenue has increased 63% compared to the previous year.
Here is the graph of the rising the number of active Facebook users over the years
Most of the money that Facebook is making right now comes from mobile ad sales. As mentioned above, now, in 2016, Facebook has 1.71 billion active monthly users, an increase of 15% from last year. The share of mobile advertising revenue accounted for 84% of the company’s total advertising revenue. Last year, the mobile advertising revenue was 76% of its total advertising revenue.
Facebook’s primary focus seems to be on video advertising where it faces competition from apps like Snapchat and video services like YouTube. According to CEO Mark Zuckerberg, “Our community and business had another good quarter and we are particularly pleased with our progress in video as we move towards the world with video at the heart of all our apps and services.”
Facebook’s revenue increased by 19% in Asia and 21% in Europe.
Facebook embraced the mobile world a bit late compared to other apps and instant messaging services, but once it started focusing on it, the company diverted most of its energies towards its mobile interface. In fact, it is taking mobile services so seriously that it is building a dedicated ecosystem around Facebook Messenger.