This Wednesday (26), Meta presented its financial results for the third quarter. Despite the declines in relation to the previous quarter and year-over-year period, the performance is above expectations by market analysts. The company’s main focus at the moment, Mark Zuckerberg took advantage of the presentation to reinforce his commitment to metaverse.
In the comparison between the second and third quarters, revenue Goal went from US$ 28.2 billion to US$ 27.7 billion — the Refinitiv expected a result of US$ 27.4 billion. Earnings per share (EPS) were below speculation. The company’s EPS came in at $1.64 (vs. $1.89 expected).
Reality Labs, Meta’s division responsible for the metaverse, saw a 36% drop in revenue when compared to the previous quarter, from $452 million to $285 million. The numbers get bigger when compared to the same period in 2021, which had revenue of $558 million (approximately 48%).
Still, the “meme” that Mark Zuckerberg only talks about the metaverse all the time is real. When opening the broadcast some time after it started, the CEO of the company was talking about how the bet is valid and the Meta is on the right track with the development of metaverse. To no one’s surprise, technology will be one of the company’s three priorities in 2023 — the company must increase the amounts invested from 2024 onwards.
Maybe trusting the board of one of its shareholdersMark announced that some divisions will see changes in their sizes: some will get smaller, some will get bigger — and others will take a break from hiring.
Social networks gain audience, but ads do not yield
Mark Zuckerberg revealed that the company gained public on its social networks, with the North America being the region with the highest growth in users.
In the “war” against TikTok, the founder of Meta claims that Reels are increasing usage time on Instagram. With this information, it is clear why the company chooses to increase investment in artificial intelligence responsible for recommending content — usage time needs to get even longer.
The third priority will be on ads and business platforms. The decision to include these services among the investments reflects a problem also faced by Google, which announced its results this week.
When the questions were opened to the public, Zuckerberg complained about the changes in iOS, which made it difficult for users to access some information and, consequently, the possibility of more targeted ads.
With information: Yahoo Finance