After exceeding revenue expectations in Q4 of last year, Facebook’s share value reached a record high of US$60 a share, for a brief period at least.
In the space of a few hours, Facebook’s share value rose by 6pc but has since stabilised around the US$53 mark.
As the company nears 10 years in business next week, its posting a US$2.59bn profit margin in the last quarter generated a surge in trading yesterday.
This is an increase of 63pc on the same time in 2012 and is considerably above Bloomberg’s previous financial estimates of US$2.35bn for the social networking site.
Advertising has been one of the biggest contributors to Facebook in the last quarter, with a revenue stream of US$2.34bn, a 74 pc increase on Q4 2012.
“It was a great end to the year for Facebook,” said Mark Zuckerberg, Facebook founder and CEO. “We’re looking forward to our next decade and to helping connect the rest of the world.”
Signifying the continuing growth of smartphone users, Facebook’s mobile advertising division accounts for the majority (53pc) of its advertising revenue.
In Q4 2012, mobile advertising accounted for less than half that percentage, at 23pc.