Meta's Q2 ad revenue increases by 22% to $38.3 billion

The company expects significant capital expenditure growth in 2025 as it is investing heavily in AI and other product development efforts.

Tech giant, Meta announced its second quarter 2024 results on Wednesday, July 31, 2024. The company reported that its ad revenue increased by 22% to $38.3 billion compared to $31.4 billion in 2023. Net income for the quarter ending June 30 surged by 73% to $13.4 billion compared to $7.7 billion.

Total revenue increased by 22% year-over-year to $39 billion. The ad impressions delivered across Meta's Family of Apps increased by 10% year-over-year. The average price per ad increased by 10% year-over-year.

"We had a strong quarter, and Meta AI is on track to be the most used AI assistant in the world by the end of the year," said Mark Zuckerberg, Meta founder and CEO.

"We've released the first frontier-level open-source AI model, we continue to see good traction with our Ray-Ban Meta AI glasses, and we're driving good growth across our apps," he added.

Meta CFO Susan Li said, "We expect full-year 2024 total expenses to be in the range of $96-99 billion, unchanged from our prior outlook. While we do not intend to provide any quantitative guidance for 2025 until the fourth quarter call, we expect infrastructure costs will be a significant driver of expense growth next year as we recognise depreciation and operating costs associated with our expanded infrastructure footprint. We anticipate our full-year 2024 capital expenditures will be in the range of $37-40 billion, updated from our prior range of $35-40 billion. While we continue to refine our plans for next year, we currently expect significant capital expenditure growth in 2025 as we invest to support our artificial intelligence research and product development efforts."

WhatsApp's huge number of 500 million users in India is boosting Meta's AI goals. Li also said that India is Meta AI's biggest market, which makes it impressive for the company since the product was launched there only a few months ago.