Facebook Makes Another Loss, But Investors Cheer 'Remarkable' Turnaround

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Facebook has reported a loss for the third quarter of 2012 - but its stocks have risen on stronger than expected revenue.

The social network lost $59m in the three months to September, even as its revenues rose by 32% in the same period to $1.26bn.

Their results compare to $157m lost in the second quarter.

Overall advertising revenue rose 36%, and mobile revenue hit $152m, or 14% of its total sales, the company said.

Facebook added that it now has 1.01 billion users around the world, and that 604 million access the site with a mobile device.

Investors seemed pleased by the news, and its shares rose slightly by around 1% to $19.50 at the close of markets in New York before soaring 14% in late trading.

Improving its mobile performance has been a key issue for Facebook, after its weakness in that area was identified as a key cause of its shares underperforming after the company went public in July.

Initially Facebook's shares were valued at $38, but have lingered at around half that level since the initial public offering.

"People who use our mobile products are more engaged, and we believe we can increase engagement even further as we continue to introduce new products and improve our platform," said CEO Mark Zuckerberg, in a statement.

Analysts said Facebook may have turned a crucial corner on mobile.

"Mobile problem? What mobile problem?" said Brian Wieser at Pivotal Research Group. "It's nothing short of remarkable"

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