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Facebook bet on mobile ads pays off as earnings jump

Facebook bet on mobile ads pays off as earnings jump
Facebook, led by CEO Mark Zuckerberg, seen here in 2013, reported its fourth-quarter earnings climbed. (Justin Sullivan / Getty Images)
Facebook’s bet on mobile advertising seems to be paying off handsomely.

The social network reported profit of $701 million in the three months ended Dec. 31, up $178 million a year earlier. Revenue for the quarter was up 48% to $3.85 billion.

Most of the revenue came from Facebook’s advertising business, which hit $3.59 billion, an increase of 53% year-over-year. Mobile advertising revenue was 69% of total ad revenue, also up from 53% last year.

What the industry calls “engagement” also saw big gains. The social network’s monthly active users totaled 1.39 billion as of Dec. 31, up 13%, while mobile monthly active users were 1.19 billion, up 26%. Facebook-owned apps also reported growth in monthly active users, particularly photo sharing service Instagram (300 million), and mobile messaging services Messenger (500 million) and WhatsApp (700 million).

“We got a lot done in 2014,” said Mark Zuckerberg, Facebook founder and CEO. “Our community continues to grow and we're making progress towards connecting the world.”
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