Facebook Grows Mobile Ads

Facebook Inc. reported stronger-than-expected earnings and sales during the fourth quarter as mobile usage and ad revenues increased. The social network reported net income of $701 million, or 25 cents a share, compared with a year-earlier profit of $523 million, or 20 cents. Excluding one-time items, Facebook said it earned 54 cents, topping the 48 cents analysts on average were forecasting, according to FactSet data. Revenue for the period was up 49% year-over-year to $3.85 billion, surpassing the consensus view of $3.78 billion. The company said it reached 1.19 billion mobile monthly active users during the quarter, an increase of 26% over last year. Mobile advertising revenue represented roughly 69% of advertising revenue for the fourth quarter, up from just 53% of total ad sales a year ago. Total advertising revenue climbed 53% during the quarter to $3.59 billion. Shares of Facebook were little changed in after-hours trade.