Facebook files $5B IPO on 8th Anniversary, sits on $4B in cash 

click to enlarge An employee writes a note on the message board at the new headquarters of Facebook  in Menlo Park, California January 11, 2012. Facebook filed its much-anticipated IPO Wednesday. - REUTERS/ROBERT GALBRAITH
  • REUTERS/Robert Galbraith
  • An employee writes a note on the message board at the new headquarters of Facebook in Menlo Park, California January 11, 2012. Facebook filed its much-anticipated IPO Wednesday.

Facebook filed its much-anticipated IPO with the Securities and Exchange Commission Wednesday, revealing a user base north of 800 million and a pile of cash nearing $4 billion.

For now the Silicon Valley titan is seeking to raise $5 billion, well short of what many had forecast but still quite a hefty sum.

The filing takes place on the eighth anniversary of when the company began in CEO Mark Zuckerberg’s Harvard dorm room, and those numbers reveal just how far the company has come.

Facebook has 843 million monthly users and 483 million daily users, luring enough advertisers to produce $3.7 billion of revenue in 2011. And $3.2 billion of that came from said advertisers, who have given Facebook a three percent share of the online advertising market.

The company’s revenue has more than quadrupled over the past few years. In 2009 it generated $777 million and in 2010 the company hit $1.97 billion.

In terms of profit, Facebook made $1 billion in 2011, up from $660 million in 2010 and 37 percent more than Amazon made in the past year.

Interest in the IPO has been so great that the SEC website crashed since too many people tried to access it.

Facebook’s public offering is one of the most talked about events in recent Silicon Valley history, and news outlets everywhere are already picking apart every aspect of the numbers.

For example, Facebook COO Sheryl Sandberg made $30 million in 2011 and online gaming company Zynga accounted for 12 percent of the company’s profits.

About The Author

Reuters

Pin It
Favorite

Latest in Science & Technology

Sunday, Dec 4, 2016

Videos

Most Popular Stories

© 2016 The San Francisco Examiner

Website powered by Foundation