Meta (Facebook) reassures thanks to the return of the growth in the number of subscribers

(AOF) – The results of Meta, parent company of Facebook, were particularly awaited after the heavy sanction imposed on the fourth quarter. The social network was then penalized more than expected by the competition and the functionality of iOS 14, which limits the use of user data for advertising targeting. Over the first three months of the year, Meta won more subscribers than expected.

After recording the first drop in the number of subscribers in its history at the end of 2021, Meta has returned to growth. The number of daily active users accelerated by 4% to 1.96 billion while the market anticipated 1.94 billion.

Revenue fell 7% to $27.9 billion, coming in below consensus of $28.30 billion. Advertising sales amounted to 27 billion dollars, representing growth of 6%, a marked slowdown compared to the previous quarter (+20%). The market expected $27.6 billion. Business was penalized by the start of the war in Ukraine.

Earnings, on the other hand, exceeded expectations. Meta, however, saw its net profit drop 21% to $7.465 billion, or $2.72 per share. The consensus was $2.54 per share.

The Reality Labs division, which brings together products, software and content related to augmented and virtual reality, generated $695 million (+30%) in revenue and generated an operating loss of $2.96 billion vs. – 1.83 billion a year earlier.

The business outlook turned out to be disappointing. Revenue for the current quarter is expected to be between $28 billion and $30 billion. Wall Street is targeting more than $30 billion.

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