Facebook Inc (NASDAQ:FB) announced its second quarter results yesterday. The Company’s revenue for the quarter ending June 30 came at $2.91bn, an increase of 61% over the $1.81bn reported in the same quarter of 2013. Net income for the company stood at $791m for the latest quarter, up 138% compared to $333m for the same period last year.
After the results were declared Nicholas Carlson, Business Insider deputy editor; Martin Pyykkonen, Rosenblatt Securities; Todd Schoenberger, J. Streicher Asset Management and Colleen Taylor, TechCrunch reporter were seen discussing the hesitance in Facebook Inc (NASDAQ:FB)’s stock on CNBC.
“I think the reason we might be seeing some early downgrades in the stock in the afterhours right now is because those mobile users, the mobile monthly-active user growth hasn’t been maybe as strong as a lot of people have wanted it to be. I mean the overall numbers here are fantastic and no big surprise from Facebook Inc (NASDAQ:FB), they beat analysts’ expectations over the past four quarters so once again blowing that out of water over all but it’s not about the numbers, it’s about the specifics where those numbers are coming from […],” Ms. Taylor said on the program.
Mr. Carlson of Business Insider was of the view that Facebook Inc (NASDAQ:FB)’s core product, its mobile app is in an optimization mode and they are trying to get out more out of videos and more out of ads but it’s yet to be seen what they can do with Instagram, WhatsApp and all these ‘wide open’ properties that Facebook Inc (NASDAQ:FB) has.
“I am shocked, I mean I don’t really understand it, what about a year and a quarter ago their mobile ads were what maybe 0% compared to their total earnings. Now you are looking at a company that has made $1 billion of revenue increase year-on-year, what am I missing here? That is a 50% increase. If you want a hyper growth company, this is it […] If you are not buying it right now, you are never going to buy it,” Mr. Schoenberger said about Facebook Inc (NASDAQ:FB)’s increase in revenues.