Facebook ad revenue rockets 63% to $6.24bn

Facebook's ad revenue surged 63% year-on-year to $6.24bn last quarter, as chief executive Mark Zuckerberg hailed the social media giant's progress in video.

Mark Zuckerberg: said video is moving to heart of Facebook's services
Mark Zuckerberg: said video is moving to heart of Facebook's services

For the three months ending in June, Facebook posted $6.44bn in revenue, a 59% increase on Q2 2015, while profit rocketed by 189% to $2.06bn year on year. 

Mobile ad revenue continues to be Facebook’s major source of revenue, representing 84% of ad revenue in Q2, up from 76% during the same period last year.

It also reported a 17% increase in daily active users to 1.13 billion on average for June 2016, while monthly active users increased by 15% to 1.71 billion in June.

Facebook did not report how much revenue it makes from video specifically. But, in a statement, Zuckerberg said: "Our community and business had another good quarter.

"We're particularly pleased with our progress in video as we move towards a world where video is at the heart of all our services." 

In an earnings call, Facebook’s chief operating officer Sheryl Sandberg said advertiser demand is increasing – in contrast to Twitter which said this week a lack of demand is impacting on its revenue.

Facebook said it generated 50% for ad views last quarter year on year – helped by an increase in live video views  while rates grew by almost 10%.

According to eMarketer, Facebook’s global ad revenue will hit £23.31bn this year, making it the number two online ad publisher behind Google. Globally, each Facebook user will generate $15.83 for the company, eMarketer has estimated.