Facebook earnings and plans revealed
Posted by: hchandola on: February 1, 2008
How much Facebook earned last year? 50 million?, 100 million?
The actual figure is $150 million which Facebook’s 23-year-old CEO Mark Zuckerberg revealed in a company wide open call. Obviously Mr Zuckerberg didn’t think that these details could be leaked.
The Times carried an article on how the leaked figures look like.
Overall, the details are pretty interesting and show how the company is bracing up for the future. They say that they are going to invest $200 million of expenditure which looks like to be mostly on storage capacity. With millions of photos on facebook, that’s sure going to be a good investment.
What obviously doesn’t come up here is whether Facebook would be making any acquisitions ? I myself would think that if they had a cash pile, then an overture(which was acquired by yahoo) like acquisition would be the best investment for them given that all of their earnings come from serving ads.
Its true that Microsoft handles it for them now but given that Facebook’s revenues are all from ads – I won’t keep something as important as that disassociated from the company.
Let’s see how’s facebook performing in the context of SNS advertising market
Here’s a presentation on SNS(facebook) market valuation …to help you understand where facebook stands today in the over all SNS advertising market…..
Kara Swisher reports that Facebook CEO shared the company’s financial results for 2007 and outlook for 2008 at an all-hands meeting today (that included call-in access presumably for remote employees). The numbers:
- 2007 revenue came in at $150 million
- 2008 revenue is expected to be between $300-$350 million
- 2008 capex is expected to be $200 million
- 2008 EBITDA is expected to be about $50 million
In addition, he Zuckerberg predicted that Facebook should grow from 450 to 1000 employees in 2008. With over $300 million reportedly in the bank from recent investors Microsoft, Ling Ka-Shing, the Samwers, and others, Facebook should be in good shape to ramp up spend for at least the next couple years.
On Insidefacebook.com
3 Responses to "Facebook earnings and plans revealed"
June 13, 2009 at 9:28 am
How much money does facebook make from applications like Fish Wrangler?
Fish Wrangler users donate money and get something called Red Love Chum (RLC) in return. The RLC is a fish bait that enables you to catch more fish and not loose bait.
This s a very clever way of getting people to pay to use applications and I wondered how much facebook encourage this, afterall, it must be quite lucrative.
I have spent $35 in three months. If I continued at this rate, I would spend $140 in a year. If we look at the 350,000 Australian Fish Wrangler users, if 1% of them donated at my rate of expenditure, that would make some serious money. If we take into account the rest of the users in the world, then I suspect there is a little empires worth of money being made. The scary thing here is that I think I am underestimating the amount of money that people pay in donations. One American user, that I spoke to on the Fish Wrangler forum, said he had spent $400 on Red love Chum in a year. That forum post was deleted though, as there were angry user messages at the time, from Fish Wranglers that had lost money from the offers. The offers on Fish Wrangler are also based around making money. Most of them offer you something, in return for Red Love Chum. The offers include things like giving all your details and filling in surveys, on-line gambling, miracle tea…etc. Some of the offers involve parting with some cash, which is shy there was some bad feeling amongst the Fish Wrangling application users.
All of this is done in the name of donating to support the running of Fish Wrangler. It seems quite sinister to me, create an addictive game and then encourage people to part with their cash by offering game incentives or privileges, and all in the name of supporting us. Surely there should come a point where the Fish Wrangler developer, Joe Faron and associates, no longer needs financial support, or would there?
Thank you and regards.
Nigel Mellor
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December 3, 2008 at 12:21 am
HI
At first Congratulations Mark Zuckerberg
I’m Interested to know from where is earning facebook.???
Who is paying to facebook this 250-300 million ???
I wonder!!!
Thank you