Facebook revenue’s sharp rise

FACEBOOK’S mobile advertising business grew by more than 50 per cent in the second quarter, the company says in its earnings report, as the social network continues to establish itself as the venue of choice for an ever-growing array of online advertisers.

Shares in Facebook, owner of four of the most popular mobile services in the world, rose more than 4 per cent to about $US173 in after-hours trading.

Through Wednesday’s close, the stock price had climbed nearly 44 per cent this year. Facebook, which now has more than 2 billion regular users, has been squeezing more ads into its Facebook News Feed while adding more ads to its photo-sharing app Instagram.

With money cascading from those two services, chief executive Mark Zuckerberg said the company was turning attention to monetising its two messaging services, Messenger and WhatsApp, which have more than 1 billion users each.

“I want to see us move a little faster,” Mr Zuckerberg said in a call with analysts.

The company also is accelerating its push into video in a bid to take advertising dollars from the television industry and increasing the time people spend on Facebook.

Within weeks, Facebook is expected to start a video service that will include scripted shows. Mr Zuckerberg said video would be a significant driver of Facebook’s business in the next two to three years.

Total revenue rose 44.8 per cent to $US9.32 billion in the second quarter. Growth was even steeper in mobile advertising, rising to $8 billion.