Total revenue declined six percent, from $1.131 billion to $1.058 billion, between the fourth and first quarters. Total revenue was $731 million in the same period a year ago. Net income clocked in at $205 million, down from $233 million in Q1 2011.
None of this should be a serious cause for concern for investors: advertising revenues are typically stronger in the fourth quarter than the first quarter of a given year.
Facebook noted that revenue continues to shift from North America to more rapid-growth markets such as Germany, Brazil, Australia, and India. The U.S. and Canada now account for 50% of revenue, a decrease from 54% in the first quarter of 2011 and 58% in 2010.
In addition, Facebook disclosed that it now has 900 million registered users, 532 million of which are active daily. The number of mobile users has passed the the 500 million mark.
The updated filing also reveals the financial details of Facebook's bid to acquire Instagram, which was announced earlier this month. It turns out Facebook did not, in fact, pay $1 billion in cash for the photo-sharing app. Instead, the company forked over 23 million shares of its common stock (valued at $31 per share) plus $300 million in cash. Instagram will receive $200 million should the deal fall through.
What do you think about Facebook's Q1 performance? Does it make you more or less interested in investing when the company goes public later this year?
[nggallery ID=3265]