Evaluate Facebook's PROFITABILITY. (10-15 sentences) *

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Statement of Earnings of Facebook:
Amounts In millions
For the year ending December 31
2020
2019
2018
Revenue:
Advertising
Other
84,169
69,655
55,013
1,796
1,042
70,697
46,711
825
Total revenue
85,965
55,838
Total costs and expenses
Income from operations
Operating margin
53,294
32,671
30,925
24,913
23,986
38%
34%
45%
Provision for income taxes
4,034
6,327
3,249
Effective tax rate
12%
25%
13%
Net income
29,146
18,485
22,112
Diluted earnings per share (EPS)
10.09
6.43
7.57
Evaluate Facebook's PROFITABILITY. (10-15 sentences) *
Vour answer
Transcribed Image Text:Statement of Earnings of Facebook: Amounts In millions For the year ending December 31 2020 2019 2018 Revenue: Advertising Other 84,169 69,655 55,013 1,796 1,042 70,697 46,711 825 Total revenue 85,965 55,838 Total costs and expenses Income from operations Operating margin 53,294 32,671 30,925 24,913 23,986 38% 34% 45% Provision for income taxes 4,034 6,327 3,249 Effective tax rate 12% 25% 13% Net income 29,146 18,485 22,112 Diluted earnings per share (EPS) 10.09 6.43 7.57 Evaluate Facebook's PROFITABILITY. (10-15 sentences) * Vour answer
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