Meta Q1 Earnings: Tech Giant’s Revenue Climbs 27%

Tech giant Meta released its Q1 earnings showing a 27% year-over-year revenue surge to $36.4 billion amid positive expectations.
By David Pokima
April 25, 2024
Meta Unveils Framework To Restrict High-Risk Artificial Intelligence Systems

Story Highlights

  • Meta reports increased revenue in Q1 2024.
  • The company's earnings grew by 27%.
  • Reality Labs is still expected to post losses in 2024.

Meta’s Q1 earnings show a spike in revenues and overall performance of the individual applications within the company. In an April 25 release, Meta disclosed its company performance for the first three months of the year. 

The company recorded a $36.4 billion increase in revenues, a 27% year-over-year increase amid other positive indicators. This release follows positive projections by analysts on the likely outcome after a strong first quarter.

Advertisement
Advertisement

Operational and Financial Highlights

The tech giant’s quarterly performance came in strong with key points of growth expected this year. Meta’a Ad impression across its family of applications surged 20% this year as its family daily active people (DAP) 3.2 billion last month. 

This figure marks a 7% year-over-year growth in the metric as the average price per ad increased by 6%. Total revenues delighted investors after Meta announced a 27% growth at $36.4 billion while revenues on a constant currency basis were at $36.35 billion. 

Expenses recorded by Meta increased as overall costs hit $22.6 billion marking a 6% increase. Capital expenditure topped $6.7 billion. With these factors, the company’s cash and cash equivalents were at $58.1 billion while cash flow was $12.5 billion. 

The capital return program saw share repurchases of $14.64 billion while dividend payments stood at $1.67 billion.

Advertisement
Advertisement

Meta Eyes Future Growth

Mark Zuckerberg the CEO of Meta highlighted the good start to the year stating growth recorded in the company’s applications. 

The new version of Meta AI with Llama 3 is another step towards building the world’s leading AI. We’re seeing healthy growth across our apps and we continue making steady progress building the metaverse as well.” 

Similarly, Meta’s Chief Financial Officer expects Q2 revenues to be around $36.5- $39 billion while expenses and other fees are to increase. The company’s Reality Labs is projected to record losses because of multiple product developments and a wider scale of the ecosystem.

Q1 was a good start to the year. We’re seeing strong momentum within our Family of Apps and are making important progress on our longer-term AI and Reality Labs initiatives that have the potential to transform the way people interact with our services over the coming years,” the report added. 

Also Read: TikTok CEO Assures Overcoming US Ban; Says “We Aren’t Going Anywhere”

Advertisement
David Pokima
David is a finance news contributor with 4 years of experience in Blockchain Technology and Cryptocurrencies. He is interested in learning about emerging technologies and has an eye for breaking news. Staying updated with trends, David reported in several niches including regulation, partnerships, crypto assets, stocks, NFTs, etc. Away from the financial markets, David goes cycling and horse riding.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

Next Story