Firm optimistic on decline of costs resulting from scandals

Facebook on Tuesday relieved investors by forecasting that margins would stop shrinking after 2019 as costs from scandals ease up. [Photo: Courtesy]

Facebook Inc (FB.O) on Tuesday relieved investors by forecasting that margins would stop shrinking after 2019 as costs from scandals ease up, sending shares up despite a second-straight quarter with record-low user growth.

Chief Executive Mark Zuckerberg repeated the company’s warning that growing user interest in private messaging, video and safer content would cause costs to rise faster than revenue for “some time.” But he said he was focused on bringing them in line.