NEW YORK: Facebook’s first earnings report as a public company had solid numbers, but in the end it landed with a thud — much like its rocky initial public offering two months ago.
Facebook reported stronger-than-expected revenue and a gain in user numbers Thursday. But investors weren’t impressed and after a brief spike, its stock tumbled nearly 9 percent, or $2.38, to $24.47 in after-hours trading. It had closed down 8.5 percent, or $2.50, at $26.84.
Even so, Facebook Inc. said revenue grew 32 percent to $1.18 billion from $895 million a year ago. Adjusted earnings of $295 million, or 12 cents a share, matched Wall Street’s expectations. Analysts on average had expected slightly lower revenue of $1.16 billion, according to FactSet.
Facebook said it had 955 million active monthly users as of June 30, up 29 percent from a year earlier.
Overall, the company posted a loss of $157 million, or 8 cents a share, in the April-June period, mainly because of expenses it incurred when it gave employees $1.3 billion in restricted stock and related taxes as part of the IPO.