Photograph by Kimihiro Hoshino/AFP/Getty Images.
Facebook saw its quarterly revenues fall for the first time in two years during the first three months of this year, the social media giant announced Tuesday. While company execs blame seasonal advertising trends for the dip, the drop and accompanying coverage comes at a sensitive time for the iconic website as it prepares for its much-anticipated initial public offering next month.
Reuters, for one, describes the lackluster quarterly results as "a sign that the social network's sizzling growth may be cooling." The Wall Street Journal struck a similar, albeit more restrained, tone:
"Facebook's profit decline and rising spending show the strain the company is under as it challenges entrenched rivals to become one of the biggest players in Silicon Valley. At a potential valuation of about $100 billion out of the gate, Facebook will be under pressure to quickly justify that sum to investors."
The company reported revenues of a little more than $1 billion over the first three months of the year, a decline of 6 percent from 2011's final quarter but a 45-percent increase from the same period last year. First-quarter profits clocked in at $205 million, down roughly a third from last quarter and 12 percent from last year.
Fans of numbers can read more over at the Wall Street Journal.