Facebook ad sales are up 46%

Facebook ad sales are up 46%

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Facebook ad sales are up 46%

Facebook advertising sales jumped 46% during Q1 2021 compared to the previous year.

The social network’s latest earnings report reveals that the average price per ad also climbed by 30% compared to 2020.

The number of ads delivered was up 12%.

Facebook now expects that demand for its ads will keep growing across the year, although it would be slower in the second half due to Apple’s new limits of ad tracking.

The company is working to find ways around it while retaining user privacy.

Daily active users climbed 15% globally to 2.72 billion among all its top apps – Facebook, Messenger, Instagram, and WhatsApp.

On the social network, daily active users jumped 8% to 1.88 billion.

Facebook Reports First Quarter 2021 Results

MENLO PARK, Calif. – April 28, 2021 – Facebook, Inc. (Nasdaq: FB) today reported financial results for the
quarter ended March 31, 2021.

“We had a strong quarter as we helped people stay connected and businesses grow,” said Mark Zuckerberg,
Facebook founder and CEO. “We will continue to invest aggressively to deliver new and meaningful experiences
for years to come, including in newer areas like augmented and virtual reality, commerce, and the creator
economy.”

First Quarter 2021 Financial Highlights

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First Quarter 2021 Operational and Other Financial Highlights

• Facebook daily active users (DAUs) – DAUs were 1.88 billion on average for March 2021, an increase
of 8% year-over-year.
• Facebook monthly active users (MAUs) – MAUs were 2.85 billion as of March 31, 2021, an increase of
10% year-over-year.
• Family daily active people (DAP) – DAP was 2.72 billion on average for March 2021, an increase of
15% year-over-year.
• Family monthly active people (MAP) – MAP was 3.45 billion as of March 31, 2021, an increase of 15%
year-over-year.
• Capital expenditures – Capital expenditures, including principal payments on finance leases, were
$4.42 billion for the first quarter of 2021.
• Cash and cash equivalents and marketable securities – Cash and cash equivalents and marketable
securities were $64.22 billion as of March 31, 2021.
• Headcount – Headcount was 60,654 as of March 31, 2021, an increase of 26% year-over-year.

CFO Outlook Commentary

We are pleased with the strength of our advertising revenue growth in the first quarter of 2021, which was driven
by a 30% year-over-year increase in the average price per ad and a 12% increase in the number of ads delivered.
We expect that advertising revenue growth will continue to be primarily driven by price during the rest of 2021.
We expect second quarter 2021 year-over-year total revenue growth to remain stable or modestly accelerate
relative to the growth rate in the first quarter of 2021 as we lap slower growth related to the pandemic during the
second quarter of 2020. In the third and fourth quarters of 2021, we expect year-over-year total revenue growth
rates to significantly decelerate sequentially as we lap periods of increasingly strong growth. We continue to
expect increased ad targeting headwinds in 2021 from regulatory and platform changes, notably the recentlylaunched iOS 14.5 update, which we expect to begin having an impact in the second quarter. This is factored into
our outlook.
There is also continuing uncertainty around the viability of transatlantic data transfers in light of recent European
regulatory developments, and like companies across a wide range of industries, we are closely monitoring the
potential impact on our European operations as these developments progress.
We expect 2021 total expenses to be in the range of $70-73 billion, updated from our prior outlook of
$68-73 billion. The year-over-year growth in expenses is driven by investments in technical and product talent,
infrastructure, and consumer hardware-related costs. We remain committed to investing for long-term growth and
our expense outlook reflects the underlying strength of our business and the compelling investment opportunities
we see across our products, including consumer hardware.
We expect 2021 capital expenditures to be in the range of $19-21 billion, down from our prior estimate of $21-23
billion. Our capital expenditures are driven primarily by our investments in data centers, servers, network
infrastructure, and office facilities.
We continue to expect our full-year 2021 tax rate to be in the high-teens.