Meta Platforms’ profit in 2023 saw an astonishing 69% growth
Meta Platforms’ profit in 2023 saw an astonishing 69% growth in its net earnings, leading them to issue their first-ever dividend in its history.
These figures reflect the strong position of the brand with its three flagship products.
Meta, the company that owns Facebook, WhatsApp, and Instagram, reported a net profit of $39.098 billion (€36.092 billion) in 2023.
Meta Platforms’ profit in 2023 represents a 69% improvement compared to the previous year.
This impressive financial result has led the company to announce the distribution of its first quarterly dividend in its history.
Meta’s board of directors has declared a cash dividend of $0.50 per share for outstanding common stock.
This dividend will be payable on March 26, 2024; a fair amount for all shareholders. The company has expressed its intention to pay a quarterly cash dividend in the future.
These dividends are subject to market conditions and approval from its board of directors. Meta’s annual revenues reached a total of $134.902 billion, representing a 16% increase compared to 2022.
Despite these numbers, in 2023, Meta reduced its workforce by 22%, bringing the total number of employees to 67,317.
—Meta Platforms’ Profit in 2023: A Great Business—
Meta’s advertising business generated revenue of $131.948 billion, a 16% increase.
On the other hand, the revenues of its augmented reality and virtual reality division, Reality Labs, responsible for metaverse development, experienced a 12.2% revenue decrease, reaching $1.896 billion.
These figures from Meta Platforms’ profit in 2023 reveal a strategy that has yielded results. It is worth noting that between October and December, Meta recorded a net profit of $14.017 billion.
Meta Platforms’ profit in 2023, during this quarter, tripled the result of the same period in 2022. The company’s revenues in the quarter increased by 24.7%, reaching $40.111 billion (€37.027 billion).
Regarding user base, in December, the number of daily active users (DAUs) on Facebook grew by 6%, reaching 2.110 billion.
Meanwhile, monthly active users (MAUs) reached 3.070 billion, a 3% increase.
For the first quarter of 2024, Meta expects total revenues to range between $34.500 billion and $37.000 billion (€31.848 billion and €34.155 billion).
As for expenses, it is estimated that they will range between $94.000 billion and $99.000 billion (€86.773 billion and €91.389 billion) for the whole year, unchanged from the previous outlook.
Meta anticipates that operating losses from Reality Labs will increase significantly due to product development efforts in augmented reality/virtual reality and investments to scale the Meta ecosystem.
Finally, Wall Street indices opened higher in the session on Friday, February 2nd, extending gains following yesterday’s rebound. The catalyst for the mixed situation lies in the positive reception of Meta and Amazon’s accounts.
Other tech giants expect to have similar reports to Meta Platforms’ profit in 2023. This has caused Meta’s shares to surge by a spectacular 15% in the early minutes of trading.
On the other hand, Apple’s shares, however, fell more than 3% in the early minutes of trading.
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