Facebook trounces Wall Street estimates
Company’s sharp ad sales growth beats forecast as its shares rise 5.4% after hours
The public federal prosecutor in the Brazilian state of Amazonas said on Wednesday the court there froze 38 million reais (Dh42.5 million, $11.7 million) of funds held in Facebook Inc’s account for failing to comply with a court order to supply data on users of the company’s WhatsApp messaging service who are under criminal investigation. The prosecutor’s office said the funds frozen correspond to the fines for failing to comply with court order to turn over data. Facebook representatives were not immediately available for comment.
Its shares were up 5.4 per cent in after-hours trading at $130.01, after hitting their highest since the company went public in 2012.
“Facebook has shown that you can be a giant and you can be innovative,” said analyst Patrick Moorhead of Moor Insights & Strategy. “What is working very well is their very quick shift from desktop to mobility. This was their biggest issue when they went public.” Facebook is adapting better to the shift towards mobile and video than social media rival Twitter Inc, which reported its slowest quarterly revenue growth in three years on Wednesday.