2023-04-27 11:36:46
Revenue of Meta Corporation (recognized as extremist and banned in the Russian Federation) in the first quarter grew by 3%, amounting to $28.7 billion. This is the first case of revenue growth after three quarters of decline. Investors took the news positively, with Meta shares up 11% on Wednesday.
The company’s strong performance was supported by the Chinese market, which saw growth in online advertising revenue. Meta CFO Susan Li said the company “has seen increased activity among advertisers in China targeting users and other markets, which we believe is partly due to lower shipping costs and the easing of covid restrictions.”
Meta as a whole has become more focused on practical issues, including the online advertising market, rather than a large-scale project of the metaverse, which is still making losses (this quarter they amounted to $ 4 billion). In addition, analysts note that the company is now more interested in the development of artificial intelligence – after the success of ChatGPT.
Meta also began to cut costs – the company’s management called 2023 the “year of efficiency”, last year it laid off 11 thousand employees. Reductions continue – a total of 21 thousand employees are planned to be laid off.
On Tuesday, quarterly reports were also presented by Microsoft and Alphabet – investors positively perceived their results and plans for the future.
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