Facebook’s Meta logo sign is seen at the company headquarters in Menlo Park, Calif. (AP Photo/Tony Avelar, File)
Meta Platforms, the parent company of Facebook, released its second quarter results beating expectations. The company saw a rebound in online advertising after a slump caused by the pandemic.
During the April-June period, Meta Platforms earned $7.79 billion, or $2.98 per share, representing a 16 percent increase from the same period a year ago, when it earned $6.69 billion, or $2.46 per share.
Revenue also grew 11 percent to $32 billion compared to $28.82 billion in the previous year. This marks the first double-digit revenue growth for the company since 2021.
Analysts had predicted earnings of $2.91 per share on revenue of $31.08 billion.
The number of monthly active users on Facebook as of June 30 was 3.03 billion, a 3 percent increase from the previous year.
Due to a decline in online advertising and economic uncertainty, Meta had to cut over 20,000 jobs since November. As of June 30, the company had 71,469 employees, a 14 percent decrease from the previous year.
READ: Facebook owner Meta slashes business teams in final round of layoffs
Other tech giants like Google parent company Alphabet and Amazon have also implemented job cuts.
Debra Aho Williamson, an analyst with Insider Intelligence, commented, “There’s a lot to feel good about when it comes to Meta right now. It has been able to maintain decent growth in monthly and daily active users across both Facebook and its family of apps, and it has seen strong performance from Advantage, its AI-driven suite of ad automation tools.”
Meta has projected revenue of $32 billion to $34.5 billion for the current quarter, higher than the $31.22 billion that analysts were expecting.
READ: Google rebounds from unprecedented drop in ad revenue
Meta’s positive performance follows Alphabet’s solid earnings report a day earlier.
In response to the results, Meta’s stock rose 4.8 percent to $313.02 in after-hours trading.
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Omprakash Tiwary is a business writer who delves into the intricacies of the corporate world. With a focus on finance and economic landscape. He offers readers valuable insights into market trends, entrepreneurship, and economic developments.
Denial of responsibility! Samachar Central is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
