Facebook's mobile advertising business helped the social network report another strong quarter, beating analyst expectation in terms of revenue growth. The company generated $16.9 billion in revenue, up 28 percent over last year's June quarter. Meanwhile profit dropped to $2.6 billion for the quarter, due to $2.0 and $5.0 billion of legal expenses related to the FTC settlement and $1.1 billion of cumulative income tax expense.
When Facebook started selling mobile advertising space in 2012, not even the keenest optimists could have predicted how lucrative this decision would turn out to be. Mobile advertising has accounted for more than 90 percent of Facebook’s revenue growth ever since and currently drives 93 percent of the company's total revenue.