12 Sep 2012, Dan Worth, V3
Facebook's share price rose three percent on Tuesday in response to comments from founder and chief executive Mark Zuckerberg that the firm is refocusing its efforts on mobile offerings.
Mobile is seen as the missing part of Facebook's strategy at present, with figures released in the run up to the firm's troubled initial public offering in May revealing its struggle to entice users to access its services on-the-go.
This has led to concerns it will be unable to translate its ability to generate revenue from advertising on the desktop version of the site to mobile devices.
However, speaking on stage at the TechCrunch Disrupt conference on Tuesday, Zuckerberg admitted that while the firm's share price was "disappointing", the firm was working on steps to resolve some of the issues investors have with the firm.
"We burned two years not working on mobile," he said. "Now we are a mobile company and all the code is being written in mobile."
These comments, the first since the firm went public in May, helped rally the firm's share price, which had slumped from $38 a share to as low as $17.55, to rebound to $19.43, an increase of 3.3 percent.
The boost is a much needed boost for the firm which has been hit by several issues since the flotation in May, including accusations bankers were given more information on the firm's financial performance than general investors.
Facebook will be hoping deals like the $1bn acquisition of Instagram, which closed on Friday, will also help it increase its ability to serve more ads to more users on mobile devices.