Early Access

10-QPeriod: Q2 FY2024

Meta Platforms, Inc. Quarterly Report for Q2 Ended Jun 30, 2024

Filed August 1, 2024For Securities:META

Summary

Meta Platforms, Inc. (META) reported strong financial performance for the second quarter of 2024, with total revenue reaching $39.07 billion, a 22% increase year-over-year. This growth was primarily driven by a 22% increase in advertising revenue, fueled by a 10% rise in ad impressions and a 10% increase in the average price per ad. The company's Family of Apps (FoA) segment continues to be the primary revenue generator, showing robust user engagement with Daily Active People (DAP) up 7% year-over-year. While the core advertising business shows significant strength, Meta's Reality Labs segment continues to incur substantial operating losses, amounting to $4.49 billion for the quarter, reflecting ongoing investments in metaverse technologies. Despite these segment-specific dynamics, Meta demonstrated solid profitability with a net income of $13.47 billion and diluted EPS of $5.16. The company also continued its capital return program, repurchasing $6.32 billion of its Class A common stock and paying $1.27 billion in dividends during the quarter. Management reiterated its commitment to significant investments in AI and the metaverse, anticipating substantial capital expenditures in the coming year.

Financial Highlights

51 data points
Beta

Revenue

$39.07B

0.8% Gross Margin

Net Income

$13.46B

0.3% Net Margin

EPS (Diluted)

$5.16

Total Assets

$230.24B

Cash & Equivalents

$32.05B

Free Cash Flow

$11.20B

Financial Statements
Beta
Revenue$39.07B
Cost of Revenue$7.31B
Gross Profit$31.76B
R&D Expenses$10.54B
Operating Expenses$24.22B
Operating Income$14.85B
Net Income$13.46B
EPS (Basic)$5.31
EPS (Diluted)$5.16
Shares Outstanding (Basic)2.53B
Shares Outstanding (Diluted)2.61B

Key Highlights

  • 1Total revenue increased by 22% year-over-year to $39.07 billion.
  • 2Family of Apps (FoA) revenue grew 22% to $38.72 billion, driven by advertising.
  • 3Reality Labs (RL) revenue increased 28% to $353 million, though the segment reported an operating loss of $4.49 billion.
  • 4Net income rose significantly to $13.47 billion, with diluted EPS of $5.16.
  • 5The company repurchased $6.32 billion of its Class A common stock and paid $1.27 billion in dividends during the quarter.
  • 6Daily Active People (DAP) across Meta's Family of Apps increased by 7% year-over-year to 3.27 billion.
  • 7The company anticipates capital expenditures of $37 billion to $40 billion in 2024, with significant growth expected in 2025.

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