The social networking giant has announced its first quarterly decide in two years, citing 'seasonal advertising trends' for the loss. Advertising spending is typically strong during the fourth quarter of each year, leading the first quarter to attract less in comparison. Facebook claim rapid business growth may have "partially masked" previous first quarter revenue.
Revenue fell 6.5% quarter-on-quarter in the three months leading to March 31st, though Facebook is still up on 45% year-on-year. Overall profit dropped 12% year-on-year to £127m and was down 32% at the end of 2011.
The majority of Facebook's income is brought in by advertising (82%), and has increased 37% year-on-year. Payments and other fees are up 98% year-on-year. The recent purchase of Instagram is thought to have affected Facebook's profit decrease.
Facebook is currently valued at $77 billion according to Digital Spy. Marketing Week notes this figure could be closer to £100 billion after its initial public offering.
The social networking site has recently gained over 900 million users who collectively post around 3 billion comments each day.
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