Facebook Inc.’s booming advertising business drove revenue and profit sharply higher, as the company pledged to navigate Apple Inc.’s new ad-targeting rules and accelerate investments in e-commerce, mixed reality and tools to help creators make money from their content.
The social-media giant on Wednesday said its first-quarter earnings report reflected the past year’s trend of people spending more time and money online and advertisers redirecting their resources to take advantage of that shift. The parent of Facebook, Instagram and WhatsApp said the average price per ad and the number of ads it delivered during the January-through-March period increased.
Advertising revenue, which accounts for the lion’s share of Facebook’s total revenue, rose 46% from a year earlier to $25.44 billion. The company’s profit nearly doubled to $9.5 billion, or $3.30 a share.