Slide 1: FB Earnings Presentation Q4 2020
FB Earnings Presentation Q4 2020 investor.fb.com
Slide 2: Facebook Daily Active Users (DAUs)
Facebook Daily Active Users (DAUs) In Millions 1,820 1,845 1,734 1,785 1,623 1,657 1,562 1,587 1,523 593 598 556 583 519 532 490 499 478 678 699 727 744 577 600 615 627 641 Rest of World Asia-Pacific 282 286 286 288 294 305 305 305 308 Europe 186 186 187 189 190 195 198 196 195 US & Canada Q4'18 Q1'
Slide 3: Facebook Monthly Active Users (MAUs)
Facebook Monthly Active Users (MAUs) In Millions 2,797 2,701 2,740 2,603 2,449 2,498 2,375 2,414 2,320 906 921 892 851 802 817 768 782 750 1,142 1,166 1,199 1,038 1,093 947 981 1,003 1,013 Rest of World 381 384 385 387 394 406 410 413 419 Asia-Pacific Europe 242 243 244 247 248 253 256 255 258 US &
Slide 4: Facebook Average Revenue per User (ARPU)
Facebook Average Revenue per User (ARPU) $53.56 $10.14 $16.87 $8.52 $41.41 $39.63 $2.28 $7.89 $36.49 $6.95 $7.05 $0.32 $34.18 $13.21 $12.41 $11.03 $0.45 $0.14 $0.92 $0.58 $10.64 $0.09 $0.91 $0.12 $0.14 $0.73 $0.23 $0.13 $9.82 $51.28 $0.22 $8.38 $40.50 $39.04 $0.21 $16.41 $6.84 $6.91 $7.80 $33.45 $35
Slide 5: Family Daily Active People (DAP)
Family Daily Active People (DAP) In Billions 2.54 2.60 2.47 2.36 2.20 2.26 2.10 2.14 2.03 Q4'18 Q1'19 Q2'19 Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 DAP/MAP Q4’18 Q1'19 Q2'19 Q3'19 Q4'19 Q1’20 Q2’20 Q3’20 Q4’20 77% 78% 78% 78% 78% 79% 79% 79% 79% We define a daily active person (DAP) as a registered and
Slide 6: Family Monthly Active People (MAP)
Family Monthly Active People (MAP) In Billions 3.21 3.30 3.14 2.99 2.82 2.89 2.76 2.64 2.69 Q4'18 Q1'19 Q2'19 Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 We define a monthly active person (MAP) as a registered and logged-in user of Facebook, Instagram, Messenger, and/or WhatsApp (collectively, our "Family"
Slide 7: Family Average Revenue per Person (ARPP)
Family Average Revenue per Person (ARPP) $8.62 $0.27 $7.38 $6.76 $6.52 $0.12 $6.20 $6.33 $6.03 $6.10 $0.08 $0.11 $5.66 $0.10 $0.10 $0.10 $0.12 $0.06 $8.35 $7.26 $6.41 $6.68 $6.10 $6.23 $5.93 $5.98 $5.60 Other Advertising Q4'18 Q1'19 Q2'19 Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 We define average revenue
Slide 8: Revenue
Revenue In Millions $28,072 $885 $21,082 $21,470 $346 $18,687 $249 $17,652 $17,737 $16,914 $16,886 $366 $15,077 $269 $297 $274 $262 $165 $27,187 $20,736 $21,221 $17,383 $17,440 $18,321 $16,640 $16,624 $14,912 Other Advertising Q4'18 Q1'19 Q2'19 Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 8
Slide 9: Revenue by Facebook User Geography
Revenue by Facebook User Geography In Millions $28,072 $2,534 $21,470 $4,793 $21,082 $2,010 $18,687 $1,999 $17,652 $17,737 $16,914 $16,886 $1,553 $3,665 $1,664 $4,230 $7,011 $15,077 $1,774 $1,571 $1,650 $3,341 $2,759 $1,437 $3,267 $3,257 $3,012 $5,159 $5,104 $2,682 $4,502 $4,151 $4,109 $4,124 $4,254
Slide 10: Advertising Revenue by Facebook User Geography
Advertising Revenue by Facebook User Geography In Millions $27,187 $2,512 $20,736 $21,221 $4,703 $2,002 $18,321 $1,980 $17,383 $17,440 $16,640 $16,624 $1,539 $3,642 $1,654 $4,202 $14,912 $1,766 $6,822 $1,565 $1,644 $3,312 $2,742 $1,430 $3,243 $3,236 $2,985 $2,670 $5,071 $5,051 $4,411 $4,087 $4,043 $
Slide 11: Other Revenue by Facebook User Geography
Other Revenue by Facebook User Geography In Millions $885 $22 $90 $189 $366 $346 $8 $14 $23 $297 $29 $274 $262 $269 $10 $6 $8 $91 $249 $584 $6 $88 $21 $17 $24 $19 $27 $64 $83 $28 Rest of World $165 $66 $67 $7 $53 $12 Asia-Pacific $41 $227 $232 $187 $163 $170 $183 Europe $149 $105 US & Canada Q4'18 Q
Slide 12: Expenses as a Percentage of Revenue
Expenses as a Percentage of Revenue 27% 19% 9% 9% 8% 8% 6% 9% 6% 16% 15% 14% 12% 13% 14% 12% 15% 14% 23% 24% 22% 20% General & 19% 20% 19% 17% 18% Administrative Marketing & Sales 20% 20% 20% 20% Research & 17% 19% 18% 17% 19% Development Cost of Revenue Q4'18 Q1'19⁽¹⁾ Q2'19⁽¹⁾ Q3'19 Q4'19 Q1'20 Q2'
Slide 13: Income from Operations
Income from Operations In Millions $12,775 $8,858 $7,820 $8,040 $7,185 $5,893 $5,963 $4,626 $3,317 Q4'18 Q1'19⁽¹⁾ Q2'19⁽¹⁾ Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 (1) Includes $3.0 billion and $2.0 billion in legal expenses accrued in the first quarter and second quarter of 2019, respectively, related t
Slide 14: Operating Margin
Operating Margin 46% 46% 42% 41% 37% 33% 32% 27% 22% Q4'18 Q1'19⁽¹⁾ Q2'19⁽¹⁾ Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Q4'20 (1) Includes $3.0 billion and $2.0 billion in legal expenses accrued in the first quarter and second quarter of 2019, respectively, related to the FTC settlement as discussed in our Q1 20
Slide 15: Effective Tax Rate
Effective Tax Rate In Millions, Except for Percentages Q4’18 Q1’19 (1) Q2’19 (2) Q3’19 Q4’19 Q1’20 Q2’20 Q3’20 (3) Q4’20 Income before provision for income taxes $ 7,971 $ 3,482 $ 4,832 $ 7,329 $ 9,169 $ 5,861 $ 6,131 $ 8,133 $ 13,055 Provision for income taxes 1,089 1,053 2,216 1,238 1,820 959 953
Slide 16: Net Income
Net Income In Millions $11,219 $7,846 $7,349 $6,882 $6,091 $5,178 $4,902 $2,429 $2,616 Q4'18 Q1'19⁽¹⁾ Q2'19⁽²⁾ Q3'19 Q4'19 Q1'20 Q2'20 Q3'20⁽³⁾ Q4'20 (1) Includes a $3.0 billion legal expense accrued in the first quarter of 2019 related to the FTC matter as discussed in our Q1 2019 Press Release. (2
Slide 17: Diluted Earnings Per Share
Diluted Earnings Per Share $3.88 $2.71 $2.56 $2.38 $2.12 $1.80 $1.71 $0.85 $0.91 Q4'18 Q1'19⁽¹⁾ Q2'19⁽²⁾ Q3'19 Q4'19 Q1'20 Q2'20 Q3'20⁽³⁾ Q4'20 (1) Includes a $3.0 billion legal expense accrued in the first quarter of 2019 related to the FTC matter as discussed in our Q1 2019 Press Release. Excludin
Slide 18: Capital Expenditures
Capital Expenditures In Millions $15,654 $15,719 $4,818 $4,241 Q4'19 Q4'20 2019 2020 Quarterly Annual Capital expenditures for periods presented were related to purchases of property and equipment and principal payments on finance leases. 18
Slide 19: Appendix
Appendix FACEBOOK
Slide 20: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation In Millions Q4’18 Q1’19 Q2’19 Q3’19 Q4’19 Q1’20 Q2’20 (1) Q3’20 Q4’20 Net cash provided by operating activities $ 7,684 $ 9,308 $ 8,615 $ 9,307 $ 9,083 $ 11,001 $ 3,878 $ 9,828 $ 14,040 Less: Purchases of property and 4,366 3,837 3,633 3,532 4,100 3,558 3,255 3,689 4,61
Slide 21: Limitations of Key Metrics and Other Data
Limitations of Key Metrics and Other Data The numbers for our key metrics are calculated using internal company data based on the activity of user accounts. We have historically reported the numbers of our daily active users (DAUs), monthly active users (MAUs), and average revenue per user (ARPU) (c
Slide 22: Limitations of Key Metrics and Other Data
Limitations of Key Metrics and Other Data Family Metrics Many people in our community have user accounts on more than one of our products, and some people have multiple user accounts within an individual product. Accordingly, for our Family metrics, we do not seek to count the total number of user a
Slide 23: Limitations of Key Metrics and Other Data
Limitations of Key Metrics and Other Data User Geography Our data regarding the geographic location of our users is estimated based on a number of factors, such as the user’s IP address and self-disclosed location. These factors may not always accurately reflect the user’s actual location. For examp
Slide 24: FB Earnings Presentation Q4 2020
FB Earnings Presentation Q4 2020 investor.fb.com