Facebook Q2 earnings report showed stunning growth and strong operating margins.
Facebook is growing revenues 56% year over year with best in class operating margins of 43%. Even looking at 2019, Facebook grew 72% over that time.
Facebook has over $64B in cash and focused on large end-markets such as commerce, “metaverse”, payments, AR/VR, and creators. We remain excited about Oculus as it has sold around $2.0B in sales over the last 3 quarters and is quickly becoming a major operating system analogous to IOS early days.
Here are some revenue growth and operating margins highlights from Facebook Q2 earnings report.
Growth:
– $28B in sales, +56% year-over-year
– Other revenue saw $2.0B over the last 3 quarters (key)
– 20% of Facebook is focused on Oculus.
– $116B annual revenue run rate
– Management called out commerce, payments, virtual and augmented reality priorities.
Margins:
– 43% operating margins (strong)
– $64B in cash and $573M in debt (incredible).
Twitter: @_SeanDavid
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