Irish arm of Facebook records almost €300k in pre-tax profits

THE main Irish arm of social networking giant Facebook recorded pre-tax profits of almost €300,000 in its first year of operation in Ireland.

Documents just filed with the Companies Office show that Facebook Ireland Ltd recorded revenues of €15 million in the 15 months to the end of December last year. The company recorded pre-tax profits of €297,688 last year.

Last week, the Dublin-based company — first incorporated in Ireland in October 2008 — announced that it is to increase the number it employs in Dublin by 100 to 300 by next year.

The company officially opened its European HQ in Dublin in October 2009 and followed in the footsteps of other leading internet-based firms, including Google, eBay and Amazon, by establishing a presence in Ireland.

The company employed 64 people at the end of last year with staff costs totalling €1.6m of whom 32 were engaged in sales, 31 in administration and one in engineering.

Administrative expenses totalling €14.8m last year resulted in an operating profit of €297,679.

The tax charge of €47,252 resulted in an after-tax profit of €250,436.

The company received a capital contribution of €2.8m from its US-based parent.

At the end of last year the company had shareholder funds of €3m. It had cash of €1.4m at the end of December last.

Last week Google confirmed that Facebook was the most sought search item on its search engine this year amongst Irish users.

The online social network Facebook was first launched in February 2004 and has more than 500 million members worldwide with 70% of users outside the US.

Fifty per cent of active users log on to Facebook in any given day.

Today, the privately owned company employs in excess of 1,700 employees.

The company yesterday declined to comment on Facebook Ireland Ltd’s results.