Facebook shares soared 15% Wednesday on blowout quarterly results -- but the stock lost steam after the company admitted young teens are losing interest in the site.
"We did see a decrease in [teenage] daily users [during the quarter], especially younger teens," Facebook chief financial officer David Ebersman said Wednesday, during the company's third-quarter earnings conference call with analysts. He said Facebook usage among overall U.S. teens was "stable," however.
Previously, Facebook had defended itself against multiple recent studies and articles proposing that teens don't find Facebook cool anymore. Last quarter, CEO Mark Zuckerberg said it "just isn't true" that the company has a problem with the teen market.
Ebersman's admission -- coupled with other bits from Wednesday's call, including the fact that Facebook isn't planning to ramp up the number of ads in users' feeds -- sent Facebook shares slightly lower in after-hours trading
Strong mobile results: Perhaps even more pleasing to investors was that Facebook's mobile business in particular came in very strong. Mobile ads now account for 49% of all Facebook ad revenue, up from 41% last quarter and easily beating analysts' expectations.
That's impressively rapid growth, considering that Facebook began serving mobile ads just last summer.
Via : CNN
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