As reported by the New York Daily News, the social networking giant has recorded a massive flow of advertising during the last 12 months as its user base continues to grow.
Facebook has traditionally been guarded about its finances, with estimates only revealed by private firms and market analysts. Last year, an investment from Russian group Digital Sky Technologies valued the company at over $US10 billion, but some investors believe that figure could have doubled.
Former Merrill Lynch and Goldman Sachs analyst Lou Kerner even believes Facebook will be worth $US100 billion over the next five years.
However, revenue estimates are scarce. This latest estimate put turnover at $US800 million during 2009, according to "two sources familiar with the situation", while profit has moved into the "tens of millions".
These estimates are well above previous figures. Facebook board member Marc Andreessen told Reuters last year the company would record $US500 million during 2009, while in September the company said it had become cashflow positive. However, one source told the NYDN that it was "downplaying its performance".
"There's no upside in getting people's expectations high, it's always better to go low," the source said.
The company's ability to earn revenue puts it in stark contrast to micro-blogging site Twitter, which is just beginning to earn money as it introduces advertising and other paid features.
The report suggests the ability to target the site's over 400 million users with personalised advertisements, based on the information in their profile, has been a major drawcard. As these users become "fans" of different pages, advertisers have a clear picture of each person.
"We can provide really good, relevant advertising to people because they tell us exactly what they are interested in, and who they know, and those people tell us what they're interested in," Facebook Chief Executive Zuckerberg said at the All Things Digital conference.
The company's bank of advertisers has grown to include large companies such as Research in Motion, Ford and telco giant AT&T, leading many to believe an IPO is on the horizon.
But despite the anticipation, investors are still in the dark. Last year, Zuckerberg told the Wall Street Journal that an IPO isn't on the company's priority list.
"We are definitely in no rush. If you don't need that capital, then all the pressures are different, and the motivations (to go public) are not there in the same way."
