Meta platforms, which owns Facebook, may report better-than-expected results in the first quarter of this year. Although sales were below expectations, user growth and profitability were higher.
Meta stock was down 3.21 percent at the close on Wall Street on Wednesday, but immediately after the release on Wednesday evening, the stock was up 13 percent.
Earnings were higher than expected, and the company reported earnings per share of $2.72 per share, compared to the $2.59 forecast.
The number of Facebook daily users also grew more than expected, and there were about 31 million daily users at the end of March compared to the end of the previous quarter.
“We made progress this quarter, across a number of company priorities, and remain confident in the long-term opportunities and growth that our products will provide,” Meta CEO Mark Zuckerberg said in a statement.
More people are using our services today than ever before, he says.
Despite this, the trading volume was somewhat lower than expected in advance. Revenue growth was 6.6% compared to the same quarter of 2021.
severely damaged by competitors
There was great excitement about the results of the Meta, after defeating the stake after the previous presentation of the results. Meta experienced the largest single-day value loss ever for a single company, when the stock collapsed on February 3.
The decline was related to the company at the time, offering poor prospects for more sales, and increased competition from TikTok, among other things.
For the first time ever, figures for the last quarter of 2021 showed that Facebook was losing users, and that wasn’t the only serious sign:
The share of meta is down more than 48 percent so far this year.
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