Facebook Earnings Beat Expectations, Driven by Mobile Advertising

SAN FRANCISCO — Facebook’s advertising machine shows no signs of slowing down.

The company reported on Wednesday that revenue increased 49 percent in the fourth quarter, exceeding Wall Street’s expectations.

Although Facebook did not break out video advertising in its media release announcing its results, analysts predicted that the area, a new focus for the company in the second half of 2014, was particularly strong. Company executives are expected to discuss video advertising and other new initiatives in a conference call beginning at 5 p.m.

Jan Rezab, chief executive of Socialbakers, a social media analytics company, said companies were posting far more video on Facebook and were putting it directly on the platform instead of using links to YouTube. That tends to speed up the playback and encourages more views when companies pay Facebook to show the clips to targeted groups of Facebook users.

The New York Times