Meta CEO Mark Zuckerberg holds a smartphone, as he makes a keynote speech at the Meta Connect annual event, at the company's headquarters in Menlo Park, California, U.S. September 25, 2024.
Meta shares jumped as much as 10% after the company reported second-quarter earnings on Wednesday that beat on revenue. Here's how the company did, compared with estimates from analysts polled by LSEG:
Earnings per share : $7.14 vs. $5.92 expected
: $7.14 vs. $5.92 expected Revenue: $47.52 vs. $44.80 billion expected
Meta's second quarter sales grew 22% year-over-year, which was the same growth-rate as a year ago.
The company said that third-quarter sales will come in the range $47.5 billion to $50.5 billion, ahead of Wall Street estimates of $46.14 billion.
Meta said that capital expenditures will come in between $66 billion and $72 billion, raising the low end of the company's previous estimate of $64 billion and $72 billion.
The company said that compensation related to hiring will be "the second largest driver of growth" and that "these factors will result in a 2026 year-over-year expense growth rate that is above the 2025 expense growth."
Reality Labs, Meta's unit tasked with developing virtual reality and augmented reality technologies, recorded an operating loss of $4.53 billion on $370 million in sales during the second quarter. The loss was less than Wall Street estimates, but so were the expected sales.
Daily active people for Meta's family of apps grew to 3.48 billion in the second quarter, ahead of analyst estimates of 3.45 billion. That's up from 3.43 billion in the previous quarter.
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