Facebook, Inc. (FB) has reported an 128.43 percent jump in profit for the quarter ended Dec. 31, 2016. The company has earned $3,568 million, or $1.21 a share in the quarter, compared with $1,562 million, or $0.54 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $4,150 million, or $1.41 a share compared with $2,265 million or $0.79 a share, a year ago.
Revenue during the quarter surged 50.81 percent to $8,809 million from $5,841 million in the previous year period. Gross margin for the quarter expanded 222 basis points over the previous year period to 88.11 percent. Total expenses were 48.17 percent of quarterly revenues, down from 56.17 percent for the same period last year. This has led to an improvement of 801 basis points in operating margin to 51.83 percent.
Operating income for the quarter was $4,566 million, compared with $2,560 million in the previous year period.
However, the adjusted operating income for the quarter stood at $5,597 million compared to $3,523 million in the prior year period. At the same time, adjusted operating margin improved 322 basis points in the quarter to 63.54 percent from 60.32 percent in the last year period.
"Our mission to connect the world is more important now than ever," said Mark Zuckerberg, Facebook founder and chief executive officer. "Our business did well in 2016, but we have a lot of work ahead to help bring people together."
Operating cash flow improves significantly
Facebook, Inc. has generated cash of $16,108 million from operating activities during the year, up 56.09 percent or $5,788 million, when compared with the last year.
The company has spent $11,739 million cash to meet investing activities during the year as against cash outgo of $9,434 million in the last year.
The company has spent $310 million cash to carry out financing activities during the year as against cash outgo of $139 million in the last year period.
Cash and cash equivalents stood at $8,903 million as on Dec. 31, 2016, up 81.43 percent or $3,996 million from $4,907 million on Dec. 31, 2015.
Working capital increases sharply
Facebook, Inc. has recorded an increase in the working capital over the last year. It stood at $31,526 million as at Dec. 31, 2016, up 59.81 percent or $11,799 million from $19,727 million on Dec. 31, 2015. Current ratio was at 11.97 as on Dec. 31, 2016, up from 11.25 on Dec. 31, 2015.
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