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					Quarterly Earnings Slides
         Q3 2012
Safe Harbor
This presentation contains forward-looking statements, which are subject to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts
contained in this presentation, including statements regarding our estimates of future stock-based
compensation expense, are forward-looking statements. These forward-looking statements are only
predictions and may differ materially from actual results due to a variety of factors, including variations in the
future price of our common stock as well as future grants and forfeitures of equity awards. In addition, please
note that the date of this presentation is October 23, 2012, and any forward-looking statements contained
herein are based on assumptions that we believe to be reasonable as of this date. We undertake no obligation
to update these statements as a result of new information or future events.



In addition to U.S. GAAP financials, this presentation includes certain non-GAAP financial measures. These
non-GAAP measures are in addition to, not a substitute for or superior to, measures of financial performance
prepared in accordance with U.S. GAAP. A reconciliation of non-GAAP financial measures to the corresponding
GAAP measures is provided in the appendix to this presentation. Please also see the appendix to this
presentation for information concerning limitations of our key user metrics.
Monthly Active Users (MAUs)
Millions of MAUs                                                                                                                                                             1,007
        Rest of World
                                                                                                                                                                      955
        Asia
                                                                                                                                               901
                                                                                                                        845                                                   288
        Europe
                                                                                                  800                                                                 268
        US & Canada
                                                                          739                                                                  245
                                                    680                                                                 225
                                                                                                  207
                             608                                           183
       550                                          161                                                                                                                       277
                              133                                                                                                              234                    255
                                                                                                  196                   212
       126                                                                 174
                                                    156
                              138
       113
                                                                                                                        229                    239                    246     253
                                                    201                    212                    221
       167                    183


       144                    154                   163                    169                    176                   179                    183                    186     189


   Q3'10                  Q4'10                  Q1'11                 Q2'11                  Q3'11                  Q4'11                 Q1'12                     Q2'12   Q3'12
Please see Facebook's Form 10-Q for the quarter ended September 30, 2012 for definitions of user activity used to determine the number of our MAUs, DAUs and
mobile MAUs. The number of MAUs, DAUs, and mobile MAUs do not include Instagram users unless such users would otherwise qualify as MAUs, DAUs, and
mobile MAUs based on activity that is shared back to Facebook.
In June 2012, we discovered an error in the algorithm we used to estimate the geographic location of our users that affected our attribution of certain user
locations for the first quarter of 2012. The first quarter of 2012 user metrics reflect a reclassification to more correctly attribute users by geographic region.
                                                                                                                                                                                     3
Daily Active Users (DAUs)
                                                                                                                                                                   584
Millions of DAUs                                                                                                                                          552
                                                                                                                                     526
       Rest of World
                                                                                                                483                                                152
       Asia                                                                                457                                                            139
       Europe                                                                                                                         126
                                                                      417
       US & Canada
                                                                                                                109
                                                 372                                       100
                                                                       87                                                                                          141
                            327                                                                                                       119                 129
       293                                        74                                                            105
                             58                                                             98
                                                                       85
        54                                        72
                             64
        54                                                                                                                            152                 154      160
                                                                                           135                  143
                                                                      127
                            107                  120
        94

                                                 105                  117                  124                  126                   129                 130      132
        92                   99

    Q3'10                Q4'10                Q1'11                Q2'11                Q3'11                Q4'11                Q1'12                 Q2'12     Q3'12
DAUs / MAUs
     Q3'10               Q4'10                 Q1'11                Q2'11                 Q3'11                Q4'11                Q1'12                 Q2'12   Q3'12
      53%                  54%                  55%                   56%                  57%                  57%                  58%                   58%     58%

Please see Facebook's Form 10-Q for the quarter ended September 30, 2012 for definitions of user activity used to determine the number of our MAUs, DAUs and
mobile MAUs. The number of MAUs, DAUs, and mobile MAUs do not include Instagram users unless such users would otherwise qualify as MAUs, DAUs, and
mobile MAUs based on activity that is shared back to Facebook.
For non-worldwide DAU user numbers presented for the periods marked March 31, 2012 and June 30, 2012, the figures represent an average of the first 25 days
of the period and the last 27 days of the period, respectively, due to the algorithm error described in the MAU note on slide 3. These average numbers do not
meaningfully differ from the average numbers when calculated over a full month.
                                                                                                                                                                          4
Mobile Monthly Active Users (Mobile MAUs)
Millions of Mobile MAUs

                                                                                                                                                              604
                                                                                                                                                      543
                                                                                                                                 488
                                                                                                            432
                                                                                        376
                                                                   325
                                              288
                          245
     196




   Q3'10               Q4'10                Q1'11                Q2'11               Q3'11                Q4'11                Q1'12                  Q2'12   Q3'12
Please see Facebook's Form 10-Q for the quarter ended September 30, 2012 for definitions of user activity used to determine the number of our MAUs,
DAUs and mobile MAUs. The number of MAUs, DAUs, and mobile MAUs do not include Instagram users unless such users would otherwise qualify as MAUs,
DAUs, and mobile MAUs based on activity that is shared back to Facebook.



                                                                                                                                                                      5
Revenue
Millions of Dollars
  Payments and other fees
  Advertising
                                                                               $1,262
                                                                      $1,184
                                                    $1,131
                                                             $1,058            $176
                                                                      $192
                                            $954     $188
                                    $895                     $186
                                            $156
                                    $119
                $731        $731
                 $76         $94

  $467                                                                         $1,086
                                                     $943             $992
  $17                                                        $872
                                    $776    $798
                $655        $637
  $450



 Q3'10          Q4'10       Q1'11   Q2'11   Q3'11   Q4'11    Q1'12    Q2'12    Q3'12




                                                                                        6
Revenue by User Geography
Millions of Dollars                                                                                                                                     $1,262
                                                                                                                                               $1,184
        Rest of World
                                                                                                              $1,131                                    $130
        Asia                                                                                                                       $1,058      $113
                                                                                                                 $87
        Europe                                                                                                                                          $154
                                                                                          $954                                        $87      $135
        US & Canada                                                                                             $115
                                                                     $895                  $78                                       $118
                                                                     $65
                            $731                                                          $104                                                          $341
                                                $731                 $82                                                                       $346
                            $43                                                                                 $361
                                                $47                                                                                  $328
                            $58                 $62
                                                                     $275                 $290
     $467                  $218
      $25                                       $229
     $37
     $134                                                                                                                                               $637
                                                                                                                $567                           $590
                                                                     $471                 $482                                       $525
                           $412                 $394
     $271


   Q3'10                Q4'10                 Q1'11                Q2'11                Q3'11                Q4'11                Q1'12        Q2'12    Q3'12

Revenue by user geography is geographically apportioned based on our estimation of the geographic location of our users when they perform a
revenue-generating activity. This allocation differs from our revenue by geography disclosure in our consolidated financial statements where
revenue is geographically apportioned based on the location of the advertiser or developer.



                                                                                                                                                                 7
Advertising Revenue by User Geography
Millions of Dollars                                                                                                                                    $1,086
        Rest of World                                                                                                                          $992    $120
        Asia                                                                                                    $943
                                                                                                                                               $104
        Europe                                                                                                   $79                 $872              $133
        US & Canada                                                                       $798                                        $79      $115
                                                                     $776                                        $95
                                                                      $61                   $71                                       $99
                          $655
                                                $637                  $74                   $88                                                        $295
                           $41
                                                $44                                                             $306                           $294
                           $53                  $56
      $450                                                                                                                           $274
                                                                     $245                 $245
       $24                 $201
                                                $206
       $36
      $130
                                                                                                                                                       $538
                                                                                                                $462                           $479
                                                                     $394                 $395                                       $419
                           $359                 $332
      $260


   Q3'10                Q4'10                 Q1'11                Q2'11                Q3'11                Q4'11                Q1'12        Q2'12   Q3'12

Revenue by user geography is geographically apportioned based on our estimation of the geographic location of our users when they perform a
revenue-generating activity. This allocation differs from our revenue by geography disclosure in our consolidated financial statements where
revenue is geographically apportioned based on the location of the advertiser or developer.



                                                                                                                                                                8
Payments & Other Revenue by User Geography
Millions of Dollars                                                                                                                            $192
                                                                                                               $188                 $186
        Rest of World
                                                                                                                $8                              $9     $176
                                                                                                                                     $8
        Asia
                                                                                                                $20                  $19        $20    $10
        Europe                                                                            $156
        US & Canada                                                                        $7                                                           $21
                                                                                          $16                                                   $52
                                                                                                                $55                  $54
                                                                     $119
                                                                                                                                                        $46
                                                                      $4
                                                                      $8                   $45
                                                $94
                           $76                   $3                   $30
                                                 $6
                            $2
                            $5                  $23
                           $17
                                                                                                               $105                 $106       $111
                                                                                                                                                        $99
                                                                                           $87
                                                                      $77
                                                $62
       $17                 $53

      $11
   Q3'10                Q4'10                 Q1'11                Q2'11                Q3'11                Q4'11                Q1'12        Q2'12   Q3'12

Revenue by user geography is geographically apportioned based on our estimation of the geographic location of our users when they perform a
revenue-generating activity. This allocation differs from our revenue by geography disclosure in our consolidated financial statements where
revenue is geographically apportioned based on the location of the advertiser or developer.



                                                                                                                                                               9
Payments Revenue Recognition Timing
Payments terms and conditions provide for a 30-day claim period following a
Payments transaction during which the customer may dispute the transaction.
 In Q3 and prior, due to insufficient transaction      Therefore starting in Q4, we expect to record
  history, Payments revenues have been recognized        all Payments revenues in the month the
  after the claim period lapses.                         transaction occurs, net of estimated refunds or
      For example, transactions occurring in June       chargebacks. We anticipate that this
        are recognized as revenue 30 days later, in      change will result in a one-time increase
        July, and included in Q3 revenue. So Q3          in Payments revenue in the fourth
        revenue reflects transactions that occurred      quarter as we recognize revenue from an
        during the months of June, July and August.      extra month of payments transactions
                                                         (those occurring in September through
 In Q4 we will have 24 months of historical             December.)
  transactional information at which time we believe
  we will be able to reasonably estimate future
  refunds and chargebacks.


  June       Jul     Aug            Sept       Oct     Nov     Dec             Jan       Feb      Mar


         Q 3 2012                               Q 4 2012                              Q1 2013



                                                                                                           10
   Average Revenue per User (ARPU)
                               Worldwide                                                                     US & Canada& Canada
                                                                     $1.38                                                                                                  $3.40
                                       $1.26           $1.26 $1.24                   $1.28 $1.29                                                    $3.20           $3.20
                                                                             $1.21                                                                          $2.90
                                               $1.14                                                                                  $2.84 $2.80
                                                                                                                      $2.77
                                                                                                                              $2.49
                               $0.90
                                                                                                              $1.93




                               Q3'10Q4'10Q1'11Q2'11Q3'11Q4'11Q1'12Q2'12Q3'12                                 Q3'10Q4'10Q1'11Q2'11Q3'11Q4'11Q1'12Q2'12Q3'12




Europe                                                               Asia                                                                   Rest of the World
                                                                                                                             $0.58
                                                                                                     $0.56 $0.56 $0.53 $0.55
                                    $1.60                                                                                                                                                             $0.47
                                                                                             $0.50                                                                                            $0.44
                                            $1.40 $1.43 $1.37                $0.46                                                                                              $0.41
                      $1.33 $1.34                                                    $0.43                                                                          $0.38 $0.40       $0.37
        $1.25 $1.19
                                                                                                                                                    $0.33
                                                                     $0.36                                                                                  $0.31
$0.84
                                                                                                                                            $0.22




Q3'10Q4'10Q1'11Q2'11Q3'11Q4'11Q1'12Q2'12Q3'12                        Q3'10Q4'10Q1'11Q2'11Q3'11Q4'11Q1'12Q2'12Q3'12                          Q3'10Q4'10Q1'11Q2'11Q3'11Q4'11Q1'12Q2'12Q3'12

   Revenue by user geography is geographically apportioned based on our estimation of the geographic location of our users when they perform a
   revenue-generating activity. This allocation differs from our revenue by geography disclosure in our consolidated financial statements where
   revenue is geographically apportioned based on the location of the advertiser or developer. The ARPU amount for US & Canada region in Q1
   2012 reflects an adjustment based on the reclassification of certain users between geographical regions to more correctly attribute users by
   geographic region.

                                                                                                                                                                                                          11
Share-Based Compensation Expense
                                                                                                          $1,106
Millions of Dollars
       Pre-2011 RSUs
       Post-2011 RSUs
       Options & Other




                                                                                                          $986




                                                                                                                   $179    ~$190
                                                                                                                   $28      $30
                                                                                                  $103
                                                                $64                $70     $76
                                                                                                                   $138     $135
       $4                  $6                 $7                                                   $97    $113
                                                                $58                $59     $74
                                                                                                                            $25
   Q3'10               Q4'10              Q1'11              Q2'11              Q3'11     Q4'11   Q1'12   Q2'12    Q3'12   Q4'12E

Q4 2012 expenses are estimates and exclude any potential impact of future acquisitions.




                                                                                                                                    12
Expenses as a % of Revenue
       Share-based compensation + Payroll tax related to share-based compensation                                                             All other expenses

  Cost of Revenue                                         31%                                                 Research & Development
                                        26%                                                                                                              60%
    25%                                                                     26%
                      22%



    24%                                 26%               25%               25%                                                                                    19%
                      22%
                                                                                                                                              14%
                                                                                                                 11%               11%

                                                                                                                  8%                7%        9%         9%        11%
  Q3'11 Q4'11 Q1'12 Q2'12 Q3'12                                                                               Q3'11 Q4'11 Q1'12 Q2'12 Q3'12

Marketing & Sales                                       33%
                                                                                                              General & Administrative
                                                                                                                                                        39%



  12%                                 14%                                 13%
                    11%
                                                                                                                                              10%                  12%
                                                                                                                  9%                8%
  11%                9%               12%               11%               12%
                                                                                                                  6%                7%        8%        11%        10%

Q3'11 Q4'11 Q1'12 Q2'12 Q3'12                                                                                 Q3'11 Q4'11 Q1'12 Q2'12 Q3'12
We have reclassified certain prior period amounts in marketing and sales to general and administrative expense to conform to our current
period presentation. These reclassifications did not affect revenue, total costs and expenses, income (loss) from operations, or net (loss)
income.


                                                                                                                                                                         13
GAAP Income (Loss) from Operations & Margin
Income (Loss) from Operations ($M)

          $437                               $548
                    $388    $407      $414           $381             $377
 $216




                                                             $(743)
Q3'10    Q4'10     Q1'11   Q2'11     Q3'11   Q4'11   Q1'12   Q2'12    Q3'12


Operating Margin

 46%      60%      53%                       48%
                            45%      43%             36%               30%




                                                             (63%)
Q3'10    Q4'10     Q1'11   Q2'11     Q3'11   Q4'11   Q1'12   Q2'12    Q3'12




                                                                              14
Effective Tax Rate
 (in millions)                                                     Q1               Q2             Q3               YTD
                                                                  2012             2012           2012               2012

 Revenue                                                      $     1,058      $    1,184     $    1,262        $     3,504

 Costs and expenses:
    Cost of revenue                                                   277             367           322                 967
    Research and development                                          153             705           244               1,102
    Marketing and sales                                               143             392           168                 703
    General and administrative                                        104             463           151                 717
         Total costs and expenses                                     677           1,927           885               3,489

 Income from operations                                               381            (743)          377                 15

 Interest and other income (expense), net
     Interest expense                                                 (13)            (10)          (11)                (35)
     Other income (expense), net                                       14             (12)            6                   9
 Income (loss) before provision for income taxes                      382            (765)          372                 (11)
 Provision for (benefit from) income taxes                            177            (608)          431                 -
 Net income (loss)                                            $       205      $     (157)    $     (59)        $       (11)

 Effective Tax Rate                                                   46%            79%           116%                 0%


 Q2 and Q3 effective tax rates were influenced by significant share-based compensation expense resulting from our initial public
 offering, a portion of which is not tax-deductible. A combination of tax benefits recorded in Q2 and tax provisions in Q1 and
 Q3 result in an approximately 0% effective tax rate in the year-to-date period.




                                                                                                                                   15
GAAP Net Income (Loss)
Millions of Dollars

                                        $302
         $251           $240
                 $233           $227
                                                $205

 $131




                                                                 $(59)


                                                        $(157)
Q3'10   Q4'10   Q1'11   Q2'11   Q3'11   Q4'11   Q1'12   Q2'12    Q3'12




                                                                         16
Non-GAAP Net Income
Millions of Dollars

                                                                                                                                               $890
                                                                                                                            $804




                                                $311
                      $273




                 Q3 2011    Q3 2012                                                                                       YTD '11            YTD '12
                      Quarterly                                                                                                        YTD

Non-GAAP net income excludes share based compensation expense, payroll tax expenses related to share-based compensation, and related
income tax adjustments—see the Appendix for a reconciliation of this non-GAAP measure to GAAP net income.



                                                                                                                                                       17
Capital Investments
                                                             $1,288
Millions of Dollars
   Property and equipment acquired
                                     $1,079                   $251
   under capital leases
   Purchases of property
   and equipment
                                     $473      $814



                                               $393
                             $510
                                                             $1,037
                             $217
                                     $606
                                               $421
             $89             $293
             $56
             $33
            2009            2010     2011     YTD'11         YTD'12
                           Annual                      YTD




                                                                      18
Employees
Period-end Headcount


                                                4,331


                        3,200
                                 2,958

                2,127


       1,218




      2009     2010     2011    YTD'11         YTD'12
               Annual                    YTD




                                                        19
Appendix
Reconciliations

                                                                Three Months Ended        Nine Months Ended
                                                                   September 30,            September 30,
                                                                 2011        2012          2011        2012
GAAP net income (loss)                                         $    227    $     (59)   $     698   $     (11)
    Share-based compensation expense                                  70         179          141       1,388
    Payroll tax expenses related to share-based compensation         -           (31)           7         122
    Income tax adjustments                                           (24)        222          (42)       (609)
Non-GAAP net income                                            $    273    $     311    $     804   $     890




                                                                                                                 21
Limitations of Key Metrics
The numbers of our MAUs and DAUs and average revenue per user (ARPU) are calculated using internal
company data. While these numbers are based on what we believe to be reasonable estimates of our user
base for the applicable period of measurement, there are inherent challenges in measuring usage of our
products across large online and mobile populations around the world. For example, there may be
individuals who maintain one or more Facebook accounts in violation of our terms of service, despite our
efforts to detect and suppress such behavior. We estimate, for example, that “duplicate” accounts (an
account that a user maintains in addition to his or her principal account) may have represented
approximately 4.8% of our worldwide MAUs as of June 30, 2012. We also seek to identify “false” accounts,
which we divide into two categories: (1) user-misclassified accounts, where users have created personal
profiles for a business, organization, or non-human entity such as a pet (such entities are permitted on
Facebook using a Page rather than a personal profile under our terms of service); and (2) undesirable
accounts, which represent user profiles that we determine are intended to be used for purposes that violate
our terms of service, such as spamming. As of June 30, 2012, for example, we estimate user-misclassified
accounts may have represented approximately 2.4% of our worldwide MAUs and undesirable accounts
may have represented approximately 1.5% of our worldwide MAUs. We believe the percentage of
accounts that are duplicate or false is meaningfully lower in developed markets such as the United States
or Australia and higher in developing markets such as Indonesia and Turkey. However, these estimates
are based on an internal review of a limited sample of accounts and we apply significant judgment in
making this determination, such as identifying names that appear to be fake or other behavior that appears
inauthentic to the reviewers. As such, our estimation of duplicate or false accounts may not accurately
represent the actual number of such accounts. We are continually seeking to improve our ability to identify
duplicate or false accounts and estimate the total number of such accounts, and such estimates may be
affected by improvements or changes in our methodology.




                                                                                                              22
Limitations of Key Metrics (continued)
Our metrics are also affected by applications on certain mobile devices that automatically contact our
servers for regular updates with no user action involved, and this activity can cause our system to count
the user associated with such a device as an active user on the day such contact occurs. For example, we
estimate that less than 5% of our estimated worldwide DAUs as of December 31, 2011 and 2010 resulted
from this type of automatic mobile activity, and that this type of activity had a substantially smaller effect on
our estimate of worldwide MAUs and mobile MAUs. The impact of this automatic activity on our metrics
varies by geography because mobile usage varies in different regions of the world. In addition, our data
regarding the geographic location of our users is estimated based on a number of factors, such as the
user’s IP address and self-disclosed location. These factors may not always accurately reflect the user’s
actual location. For example, a mobile-only user may appear to be accessing Facebook from the location
of the proxy server that the user connects to rather than from the user’s actual location. The
methodologies used to measure user metrics may also be susceptible to algorithm or other technical
errors. For example, in early June 2012, we discovered an error in the algorithm we use to estimate the
geographic location of our users that affected our attribution of certain user locations for the period ended
March 31, 2012. While this issue did not affect our overall worldwide MAU number, it did affect our
attribution of users to different geographic regions. We estimate that the number of MAUs as of March 31,
2012 for the United States and Canada region was overstated as a result of the error by approximately 3%
and these overstatements were offset by understatements in other regions. In addition, our estimates for
revenue by user location are also affected by these factors. We regularly review and may adjust our
processes for calculating these metrics to improve their accuracy. In addition, our MAU and DAU estimates
will differ from estimates published by third parties due to differences in methodology. For example, some
third parties are not able to accurately measure mobile users or do not count mobile users for certain user
groups or at all in their analyses.




                                                                                                                    23

				
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