Facebook-parent Meta Platforms forecasts holiday-quarter revenue above estimates
Meta shares gain after upbeat forecast
Company expects holiday-quarter sales to be $30 billion to $32.5 billion
Meta Platforms Inc. forecast holiday-quarter revenue above Wall Street estimates on Wednesday, sending its shares up 2% in extended trading.
Meta’s upbeat forecast comes as a relief to investors who have been worried about the impact of macroeconomic headwinds and increased competition on the social media giant's business.
The company said it expects fourth-quarter revenue to be between $30 billion and $32.5 billion, above analysts’ average estimate of $29.94 billion, according to Refinitiv data.
- Total revenue rose to $27.71 billion from $29.01 billion a year earlier.
- Net income fell to $4.4 billion, or $1.64 per share, from $9.19 billion, or $3.24 per share, a year earlier.
- Monthly active users were 2.91 billion on average for September, up from 2.90 billion in June.
Meta’s results were mixed, with revenue declining but user growth remaining strong.
The company is facing a number of challenges, including increased competition from TikTok, privacy concerns, and regulatory scrutiny.
However, Meta remains a dominant player in the social media market, and its latest results suggest that the company is still growing.
Meta is investing heavily in new areas, such as the metaverse, and it is expected to continue to be a major player in the tech industry for years to come.
