MENLO PARK, Calif. _ Facebook isn't having any trouble selling itself to advertisers.
Fueled by mobile ad dollars, the tech firm reported second-quarter earnings and revenue on Wednesday that beat Wall Street's expectations.
"Many people have been expecting that Facebook's revenue growth would start to decline because the News Feed is running out of space to show advertising," said Debra Aho Williamson, an analyst with eMarketer. "So far, I think Facebook has been able to balance that with things like Instagram, video advertising, and soon, Messenger."
From April to June, Facebook earned $1.32 per share, above the $1.13 per share that analysts surveyed by Bloomberg expected.
The company, which makes most of its money through advertising, grew its revenue by 45 percent to $9.32 billion during the second quarter, surpassing the $9.20 billion projected.
"We had a good second quarter and first half of the year," said Mark Zuckerberg, Facebook founder and CEO, in a statement. "Our community is now two billion people, and we're focusing on bringing the world closer together."
As of June, Facebook had 2.01 billion monthly users, up 17 percent compared to the same period last year.
The tech firm reported a profit of $3.89 billion in the second quarter, up 71 percent from the year-earlier period.
Facebook's stock initially fell in after-hours trading, but shares later traded 1.68 percent higher to $168.40 per share.
While Facebook's revenue continues to grow, some analysts expected the rate of growth will slow down.
Company executives have mentioned in previous earnings calls that they expect the growth rate to slow down this year because they're reaching the limit of ads they can show on News Feed.
In the first quarter, Facebook saw its revenue jump 49 percent compared to the same period last year.
"We expect this streak to be snapped _ due to the Large Numbers Law more than anything else," wrote Mark Mahaney, an analyst for RBC Capital Markets, in a note before Wednesday's earnings.
Still, the tech firm has been investing in virtual and augmented reality, video, internet-beaming drones and more.
As of June, Facebook had 20,658 workers, up 43 percent from the same period last year.
"Facebook still has many growth levers left to pull, not least of which is video advertising," Mahaney wrote.
