Facebook’s revenue surges in Q1

More than 90% of the company's ad dollars now come from mobile.

Advertising revenue on Facebook was up this past quarter, with the social media company posting its Q1 2018 earnings report that showed $11.8 billion in revenue from ads. That’s up 50% from Q1 2017, when Facebook brought in $7.9 billion.

The earnings report indicates financial health for Facebook – net income is up 63% (just under $5 billion) and operating margins are wider (46%, up from 41%). Daily active users increased by 13% (1.45 billion), and monthly active users increased by the same amount (up to 2.2 billion). Mobile advertising represented 91% of Facebook’s ad revenue for the quarter, up from 85% in Q1 2017. The company’s headcount was up 48% year-over-year, bringing its total to approximately 27,742 employees.

For some, the earnings report might come as a surprise, considering Facebook has been marred by controversy in recent weeks, with #DeleteFacebook trending among users.

It’s worth noting that Facebook’s results measure the three-month period ending March 31. Despite there being some overlap with the much-publicized Cambridge Analytica scandal, the majority of the news coverage began March 17, when The Washington Post and The New York Times both published stories on the data breach. CEO Mark Zuckerberg did not publicly address the controversy until March 25, and his testimony before congress began April 10.

One major advertiser, Sonos, did publicly pull its ad dollars from Facebook at the end of the quarter, although the protest action only lasted one week. While studies indicate that users’ perception of Facebook has changed, and it may affect how they interact with brands, an Angus Reid poll showed that few Canadians planned to actually “#DeleteFacebook.”