Facebook growth rate slumps this quarter
Facebook had its slowest growth rate in relation to its quarterly revenue in two years, while higher spending on research and development caused a dip in the company’s profits.
According to Reuters, shares of the world's largest Internet social network fell 2 percent in after-market trading on Wednesday.
Facebook has warned of heavy investments in 2015 as it steps up efforts to expand a collection of products that include messaging service WhatsApp, photo-sharing service Instagram and virtual reality headset maker Oculus Rift.
As a result, Facebook's operating expenses rose 83 per cent in the first quarter as R&D costs jumped 133 per cent and marketing and sales spending nearly doubled.
However, Facebook said monthly active users grew 13 per cent over a year ago to 1.44 billion, with 87 per cent of them accessing its service on smartphones and other mobile devices.