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Meta Platforms reported Q2 2024 results demonstrating robust growth and strategic advancements across its business. Total revenue for the quarter reached $39.1 billion, marking a 22% increase year-over-year, with a net income of $13.5 billion, or $5.16 per share. CEO Mark Zuckerberg opened the call by highlighting, “This was a strong quarter for our community and business,” noting that over 3.2 billion people now engage with at least one Meta app daily.
Zuckerberg shared positive developments, particularly in the U.S. market, with WhatsApp surpassing 100 million monthly active users and strong year-over-year growth in engagement across Facebook, Instagram, and Threads. He proudly noted the app Threads is nearing 200 million monthly actives, stating, “We’re making steady progress towards building what looks like it's going to be another major social app.”
A focal point of the call was the company’s emphasis on artificial intelligence. Zuckerberg outlined three areas where AI is making significant impacts: enhancing user experiences within Meta's apps, creating new opportunities for advertisers, and furthering developments in the metaverse. He shared insights on the rollout of their AI assistant, Meta AI, expressing optimism about its potential: “I think we are on track to achieve our goal of being the most used AI assistant by the end of the year.” Additionally, innovations like AI Studio aim to empower creators to build their own unique AI experiences.
CFO Susan Li elaborated on financial metrics during her remarks, indicating that capital expenditures were up to $8.5 billion, focused on infrastructure that supports both current and future AI models. She stated, “While we expect the returns from Generative AI to emerge over a longer period, we’re mapping these investments against significant monetization opportunities,” reinforcing the strategy of aligning spending with anticipated growth.
Looking ahead, Li provided guidance for Q3 2024, projecting total revenue in the range of $38.5 billion to $41 billion, alongside a commitment to managing expenses which are expected to remain in the range of $96 billion to $99 billion for the full year. Li emphasized that enhancing engagement and monetization efficiency would fuel future growth: “We are continuing to deliver ongoing ad performance improvements,” she stated.
In summary, Meta’s Q2 results reflect a company well-positioned for growth, driven by significant user engagement, innovative AI initiatives, and strategic capital investments. As Zuckerberg said, “We are in the fortunate position where the strong results we’re seeing in our core products give us the opportunity to make deep investments for the future.” Investors can look forward to expanded capabilities, especially as the company prepares for its Annual Connect Conference, promising further updates on their AI and metaverse work.