Meta Soars as Q1 Earnings Exceed Expectations; Zuckerberg Celebrates "Strong Start"

By Joglo Lawasan June 22, 2025 Post a Comment

Social media giant Meta The company's shares increased in value on Wednesday following the announcement of better-than-predicted earnings reports. first quarter .

The parent company of Facebook and Instagram experienced a 16% rise in revenue and a 37% boost in earnings per share relative to the first quarter of 2024. Additionally, the firm saw a 3% uptick in their operating margin. According to analysts surveyed by LSEG Data anticipated the firm would report revenues of $41.4 billion and earnings per share of $5.28. according to CNBC The firm announced revenues of $42.31 billion and earned $6.43 per share.

Facebook stated that the count of "daily active families" across their platforms rose by 16%, reaching more than 3.4 billion users. The corporation noted that ad impressions went up by 5%, with average prices increasing by approximately 10%.

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"We have initiated this crucial year with robust momentum; our community keeps expanding, and our business operations are thriving," stated Meta’s founder and CEO. Mark Zuckerberg said in a statement.

Meta stock Rose during extended hours trading post the announcement, staying near a 4.1% gain.

Meta anticipates an increase in revenue for the second quarter.

Meta stated that it anticipates revenues for the second quarter to fall within the range of $42.5 billion to $45.5 billion.

The firm has likewise increased its forecast for capital spending this year, anticipating expenses ranging from $64 billion to $72 billion.

"The revised forecast takes into account further expenditures in data centers to bolster our artificial intelligence initiatives along with a rise in the anticipated costs for infrastructure equipment," the firm stated.

EU regulations raise concerns

The firm cautioned that a ruling by the European Commission could "substantially" affect their operations starting from the third quarter of this year.

The commission found Meta’s “consent or pay” ad strategy conflicted with the EU’s mandate that platforms must offer users an alternative to share minimal personal information at no cost. Earlier this month, the commission fined Meta €200 million for this violation.

The company stated that based on input from the EC... they anticipate needing to implement certain adjustments to their model, potentially leading to a significantly poorer user experience for European users.

The article initially appeared on USA TODAY: Meta stock rises after the company’s Q1 earnings exceed forecasts, with Zuckerberg highlighting a ‘solid beginning’.