Key developments for Facebook as public company

Published on NewsOK Modified: January 30, 2013 at 5:13 pm •  Published: January 30, 2013
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July 26: In its first earnings report as a public company, Facebook says revenue grew 32 percent to $1.18 billion in the second quarter, slightly above analyst expectations. It had a net loss of 8 cents per share, mainly due to stock compensation expenses following its IPO. Adjusted earnings of 12 cents per share matched Wall Street's expectations. Investors weren't impressed, though, and its stock fell in trading.

Aug. 16: Ninety days after the stock began trading, some early investors and insiders are eligible to dump additional shares. Facebook's stock plunges to a new low.

Aug. 17: Facebook's stock falls further and hits $19 — half of its IPO price — just minutes before trading ended for the day.

Aug. 20: The stock price falls below $19, before bouncing back to close at $20.01. In a regulatory filing, it's disclosed that Peter Thiel, one of Facebook's earliest investors and a member of its board, was among the insiders selling stock after the lock-up period expired. He sold about 20 million shares through affiliates for $19.27 to $20.69 each.

Aug. 22: Federal government clears Instagram deal. Because of Facebook's falling stock price, the $1 billion cash-and-stock deal drops to about $750 million.

Sept. 4: Facebook says Zuckerberg won't sell stock in the company for at least the next 12 months. There had been concerns that additional shares could flood the market and depress stock prices further if Zuckerberg sold stock when he is eligible Nov. 14. The company also says employees will be able to sell their shares starting Oct. 29.

Sept. 6: Facebook says it has closed on its Instagram deal, now worth about $740 million — $300 million of it in cash and the rest in stock.

Sept. 11: Zuckerberg says the performance of Facebook's stock "has obviously been disappointing," and will probably cause some demoralized employees to defect. But he said he hopes most workers will stay and "double down" on Facebook's future.

Sept. 12: Facebook's stock lifts 7.7 percent following Zuckerberg's remarks.

Sept. 24: Facebook's stock tumbles 9 percent after an article in the financial magazine Barron's said it is "still too pricey" despite a sharp decline since its initial public offering.

Oct. 23: Facebook reports third-quarter results that inch past Wall Street's expectations, offering evidence that the company is making inroads in mobile advertising — a longtime concern among investors. Adjusted income was 12 cents per share, a penny better than what analysts were expecting. Revenue rose 32 percent to $1.26 billion, slightly above the $1.23 billion that analysts polled by FactSet were expecting.

Dec. 31: Facebook's stock closes at $26.62 on the last day of the year.

Jan. 9: The stock passes $30 for the first time since July after Facebook sends out invitations for a mystery event that later turns out to be the unveiling of a new search feature.

Wednesday: Facebook reports fourth-quarter earnings that exceed Wall Street's expectations. Its stock price fluctuates sharply in after-hours trading, as investors weigh lower net income and growing expenses against an increasing user base and higher advertising revenue. Amid worries about its ability to make money from mobile apps, the way more users are accessing Facebook, the company discloses that it generated 23 percent of advertising revenue from mobile, up from 14 percent in the third quarter.

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