#United States #AI #Q4 2024 #Meta Platforms #Menlo Park, California

Meta Platforms Inc. Reports Strong Financial Performance in 2024

Meta Platforms, Inc. (Nasdaq: META) has unveiled its impressive financial results for the fourth quarter and the entire year of 2024, demonstrating a remarkable recovery and growth trajectory. During a conference held on January 29, 2025, CEO Mark Zuckerberg expressed optimism about the company's progress in artificial intelligence (AI), augmented reality, and the future of social media. This announcement signals a robust performance with key figures reflecting significant advancements over the previous year.

Financial Highlights

For the fourth quarter of 2024, Meta reported revenues totaling $48.39 billion, marking a substantial 21% increase from $40.11 billion in the same quarter of the previous year. Similarly, the total revenue for the full year escalated by 22%, reaching $164.50 billion compared to $134.90 billion in 2023.

Key Figures for Q4 2024:

• - Revenue: $48.39 billion, up 21% year-over-year.
• - Net Income: $20.84 billion, representing a 49% increase from $14.02 billion in Q4 2023.
• - Diluted Earnings Per Share (EPS): $8.02, a 50% rise from $5.33.

Moreover, the operational performance was noteworthy as the income from operations soared by 43%, amounting to $23.37 billion compared to $16.38 billion in Q4 2023. This robust growth was driven by an increase in average ad pricing, contributing to an overall rise in advertising revenue.

Operational Metrics

The operational metrics further highlight Meta's engagement levels and advertisement performance. The family of apps' daily active people increased to 3.35 billion by the end of December 2024, reflecting a 5% year-over-year increase. Additionally, ad impressions delivered across the suite of applications rose by 6% for Q4 and 11% for the entire year, demonstrating stronger user engagement.

In terms of financial management, Meta reported an increase in advertising revenue, reaching $46.78 billion in Q4, a 21% jump from the previous year. The average price per ad surged by 14%, while costs and expenses grew at a more modest rate of 5%, reflecting improved operational efficiency.

Capital Expenditures and Future Outlook

Looking ahead, Meta's capital expenditures for 2024 were substantial, totaling $39.23 billion, of which $14.84 billion was recorded in Q4 alone. The company plans to continue this pattern in 2025, expecting total expenditures between $60 to $65 billion.

Meta’s forecasting indicates a promising outlook for Q1 2025, predicting revenues between $39.5 billion and $41.8 billion, a growth rate of approximately 8-15% year-over-year. The anticipated increase in expenses is mainly attributed to infrastructure costs and the hiring of technical talent, particularly in areas concerning AI and monetization.

Conclusion

As Meta Platforms, Inc. moves forward, it is clear that the integration of advanced technology and innovative strategies is unlocking substantial growth potential. The results from the fourth quarter and the entire year of 2024 serve as a testament to the company's evolution and its significant role in shaping the future of social networking and technology. Investors and stakeholders can look forward to an exciting year ahead as Meta leverages its core business while exploring new frontiers in AI and beyond.