The company recently reported its financial results for Q1 2023.
Meta Platforms, Inc. reported their financial results for the first quarter of 2023.
The company’s revenue grew by 3 percent, $28.65 billion from $27.9 billion from the last quarter. The company registered a net income of $5.71 billion, or $2.20 per share, in the January-March period. However, the net profit is down by 19 percent from Q1 2022.
The company beat Wall Street's expectations with the result. As a result, the company’s share increased by 12 percent to $235.60, adding over $50 billion to its market value. Despite the positive results, the company's net income has fallen by 24 percent from $7.47 billion or $2.72 per share to $5.71 billion, or $2.20 per share when compared to Q1 2022.
The total viewership across Facebook, Instagram, WhatsApp, has also rose up, the company announced. The daily active people on all three platforms were 3.02 billion on average for March 2023, an increase of 5% year over-year. The monthly active people was 3.81 billion as of March 31, 2023, an increase of 5% year-over year.
The total ad impressions across Meta’s stable of apps increased by 26 per cent year-on-year. The average price per ad decreased by 17 per cent. In total, Meta generated US$28.1 billion from advertising in the first quarter of this year. This was down 10 per cent from the previous quarter. The advertising revenue for Q1 2023 stood at $28,101 million, an increase of 4.3% compared to the same period in 2022 which was$26,998 million.
"We had a good quarter and our community continues to grow," said Mark Zuckerberg, Meta founder and CEO. "Our AI work is driving good results across our apps and business. We're also becoming more efficient so we can build better products faster and put ourselves in a stronger position to deliver our long term vision."
Zuckerberg expects the AI based tools that Meta will soon be introducing to be valuable for people from different walks of life. “I expect that these tools will be valuable for everyone from regular people to creators to businesses. For example, “I expect that a lot of interest in AI agents for business messaging and customer support will come once we nail that experience. Over time, this will extend to our work on the metaverse, too, where people will much more easily be able to create avatars, objects, worlds, and code to tie all of them together,” he said in an earnings call with the investors.
The company also said that it has concluded its layoffs and are continuing to facilitate consolidation and data center restructuring initiatives.