Facebook Beats Street On Q2 Sales, Earnings; Hits 2.7 Billion Users

If you didn’t get enough Mark Zuckerberg, Facebook and tech giants yesterday during hours of Congressional testimony, they’re all back today with a rat-a-tat-tat of back to back quarterly earnings that will hopefully give the best indication yet of the state of the digital ad market.
It popped higher in late trading after earnings. Its stock took a hit initially but recovered. Still, more than 1,100 entities are said to have pulled ad spending from the platform in July to protest hate speech and misinformation on Facebook.
Total monthly active users — seen rising to 2.63 billion from 2.6 billion in the first quarter — also passed expectations to end up at 2.7 billion.
Total revenue was $18.69 billion on earnings per share of $1.80.
The company will hold a call with analysts at 6 pm ET, hopefully with insights into the current third quarter, including the impact of advertising boycott that generated lots of heat but was dismissed by many on Wall Street – especially when it turned out that Snap and Twitter – which reported quarterly results earlier this month – didn’t seem to have benefitted much from any migration in digital ad dollars.
"And we're proud that people can rely on our services to stay connected when they can't always be together in person." "We're glad to be able to provide small businesses the tools they need to grow and be successful online during these challenging times," said Mark Zuckerberg, Facebook founder and CEO in a statement.
Lawmakers at the hearing Wednesday focused on its acquisitions of Instagram and Whatsap – basically how it buys smaller rivals to maintain its dominance. Kevin Mayer, the former Disney exec who now runs TikTok, let loose a blistering attack on Facebook yesterday.” /> It recently announced financial incentives to woo creators away from embattled but hugely popular Chinese-owned video sharing app TikTok to a new service called Reels.
Facebook said users hit 2.7 billion as it beat Wall Street estimates on revenue and earnings in the midst of the ongoing COVID-19 pandemic and a highly-public boycott by advertisers.
Facebook has been a nonstop magnet for controversy from the negative last installment of Civil Rights review the company commissioned that was released in June to the wave of indignation at its policies on curating content on its platforms. It, along with Apple, Amazon and Goolge parent Alphabet, are the target of a Congressional antitrust probe and some have called for the company to be broken up.
Wall Street was looking for Facebook to report quarterly earnings of $1.39 a share on sales of $17.34 billion — versus $0.91 cents a share on sales of $16.89 billion a year ago,

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