Facebook's Q1 Report Shows Growth in Revenue as User Numbers Approach 3 Billion

Facebook’s rise has been truly something to behold, and a big part of the reason why that is the case has to do with the fact that there are so many people that are using it today. It was not all that long ago when Facebook reaching one hundred million users was a pretty big deal, one that made a lot of news around the world due to the reason that there had never been any kind of service that was so widely used and the fact of the matter is that not long after that Facebook hit a billion users which was a number far beyond anyone could ever have expected.

With all of that having been said and out of the way, it is important to realize that Facebook’s growth didn’t end up stopping there. In fact, the social media platform has gotten well past 2 billion users at this point, and the truth of the situation is that in spite of the fact that there are so many restrictions and lockdowns being put in place and have been for months, Facebook has still somehow managed to make it so that it has earned more profit in Q1 of 2020 and has edged ever closer to the 3 billion users mark (or 2.99 billion to be precise) that it has been trying to get to for quite some time now.

And earnings report that Facebook released for the previous quarter has revealed that the percentage increase for Facebook’s revenue as well as the total number of users that are taking part in using the platform is in double digits, something that suggests that the growth was quite impressive and that there was no slowing down that other companies had seen during this period in time.

However, Facebook has also cautioned that this growth might just slow down in the current quarter due to various factors that are outside of the company’s control. At the end of the day, Facebook is a big company and statistics can help us better understand it as well as the general direction that it seems to be heading in all in all whilst also bearing in mind that stats do not necessarily tell the whole story though they are an important part of the wider story that is being told about any particular organization or institution that is being discussed.

The increase in users alone is quite impressive with Facebook gaining over a hundred million users which amounted to a ten percent increase in the previous quarter. If you look at users that are active on a daily basis, these users increased by 77 million as well and it’s fair to say that this is the sort of thing that was directly caused by the pandemic that we are currently going through because of the fact that a lot of people are on lockdown right now and hence are using social media a lot more often than they might have been otherwise.

Meanwhile, Facebook's monthly active user count surged to 2.6 billion, a lot of Facebook’s growth seems to have come from the Asia-Pacific region. India is a particularly big market for Facebook where the social media platform has capitalized on the rapid spread of technology to new consumers, although it has faced quite a bit of competition from companies such as TikTok that have also made significant inroads in this region and have prevented Facebook from resting on its laurels, instead forcing the social media platform to be a lot more proactive with regards to the kind of activities it is attempting to take part in at any given point in time.

If you were to look at all Facebook owned properties it turns out that the 3 billion mark is closer than ever before if you combine Facebook, Messenger, Instagram and WhatsApp users given that there are a number of users that use one or more of these services but don’t necessarily end up using all of them for a wide variety of reasons all in all.

When it comes to family daily active people, Facebook boosted 2.36 billion daily logged-in users who collectively use Facebook, Instagram, Messenger, and/or WhatsApp. On average Facebook is making $6.95 revenue per user.

What makes these numbers truly impressive is that Facebook can’t even be accessed by 1.4 billion people in the world due to the reason that it has been blocked in China. Another thing to note is that only half of the world’s population even has access to the internet in the first place which indicates that the vast majority of people that are able to access Facebook tend to use it on some level, which might be another reason why the growth might soon slow down because of the fact that there wouldn’t be any people left to sign up.

Analysts estimated a good quarter for Facebook but the actual numbers surpassed even their expectations. Facebook brought in about 17.7 billion dollars in the previous quarter, indicating that things are going quite well for the social media platform financially.

Ad revenue is going down due to Covid-19, however, which means that the quarter that we are currently in might not bring in quite as much revenue. However, Facebook has seen a small increase in the revenue generated per user and since more and more users are joining this means that the slow down in revenue might not be quite as severe as some would expect. All in all it will be interesting to see where Facebook goes from here given how much it has grown and continues to grow despite numerous hurdles that it has ended up facing along the way.

Read next: Facebook Set To Integrate Messenger Rooms Feature With Its WhatsApp Messaging Service
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