What to Watch in Facebook’s results: Mobile ads, Whatsapp, Instagram and spendingComments Off on What to Watch in Facebook’s results: Mobile ads, Whatsapp, Instagram and spending
Both revenue and profits are expected to grow, but perhaps the more interesting figure will be Facebook’s takings from mobile advertising.
Once seen as the social network’s Achilles heel, Facebook has recently proved it can monetize mobile and investors will be looking for signs that the company has cracked it once and for all.
Mobile advertising revenue is predicted to top $2.3 billion, with growth of as much as 90% year-over-year, Mashable reported.
Its plans for its apps are also likely to be talking points.
In a note to clients Trefis wrote: “Facebook hasn’t even begun scratching the surface of its potential on platforms, including Whatsapp, Instagram, Messenger, Search etc… we believe there is ample opportunity for the company to propel growth anew.”
Any attempt to match Twitter and its newly-announced video camera function could also be headline-worthy.
Finally, Facebook has already flagged that 2015 will be an investment year for the company so investors are eagerly awaiting an update on how much the company will spend and on what.
Founder Mark Zuckerberg has in the past had a penchant for exploring areas beyond Facebook’s core products, like virtual reality and artificial intelligence, and fresh signs of any similar adventures could irk some investors hoping for a more conservative investment approach.
Trefis has suggested expenses could rise by 55% to 75%, but reminded clients that the company is still working out how to best tap opportunities in several businesses and platforms, which could reap “huge profits for the company over the next five to 10 years”.