Facebook saw revenues of $1.058 billion in Q1 2012, up from $731 million in Q1 2011 but down from $1.131 billion in Q4 2011. It's worth noting that revenues also declined between these two quarters a year ago. Facebook typically makes more money in the calendar year's fourth quarter than in the first quarter.
Facebook saw net income of $205 million in Q1 2012, down from $233 million in Q1 2011 and also down from $302 million during Q4 2011. A drop in profits is not good news, especially ahead of the company going public next month.
Here's the next text Facebook added, in addition to these numbers:
The consolidated statements of income data for the three months ended March 31, 2011 and 2012, and the consolidated balance sheet data as of March 31, 2012 have been derived from our unaudited consolidated financial statements appearing elsewhere in this prospectus. In our opinion, such financial statements include all adjustments, consisting only of normal recurring adjustments, that we consider necessary for a fair presentation of the financial information set forth in those statements.
When Facebook amended its IPO filing the second time last month, the company briefly mentioned its potential legal battle with Yahoo. This was soon after Menlo Park received a letter from Sunnyvale, but still before Yahoo's lawsuit was filed. Last week, Facebook amended its IPO filing a third time, adding information about Yahoo's lawsuit. Today I can safely say: "Here comes amendment number four!"
Sure enough, here's Facebook's update about Yahoo today:
We intend to vigorously defend this lawsuit, and on April 3, 2012, we filed our answer with respect to this complaint and asserted counterclaims that Yahoo’s products infringe ten of our patents. This litigation is still in its early stages and the final outcome, including our liability, if any, with respect to Yahoo's claims, is uncertain.