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| Meta Profits Surge in September Quarter Amid Ongoing Turnaround Efforts. |
During a recent live TV broadcast, the market updates showed positive figures: the DOW increased by 0.32% to reach 33,035.93, the S&P 500 rose by 1.43% to 4,186.77, and the NASDAQ surged by 2.43% to 12,821.22. Meanwhile, Meta, the parent company of Facebook, impressed Wall Street with its quarterly earnings report, signaling the success of its ongoing "year of efficiency" turnaround strategy.
The company reported a 23% year-over-year increase in quarterly revenue, surpassing analysts' projections with a total of over $34 billion. Notably, Meta's profits more than doubled compared to the previous year, reaching nearly $11.6 billion.
Meta's shares surged by 4% in after-hours trading, adding to its remarkable 140% year-to-date stock increase. This impressive performance follows Meta's strategic cost-cutting efforts, including significant layoffs, which the company announced as completed after a challenging 2022 marked by obstacles such as Apple's app privacy changes and reduced digital ad spending.
CEO Mark Zuckerberg had outlined the "year of efficiency" plan earlier in the year, addressing the company's decline in revenue and slowing user growth amid stiff competition from platforms like TikTok.
Meta anticipates a year-over-year revenue growth between 13.5% and 24% for the final quarter of 2023. Zuckerberg emphasized Meta's commitment to efficiency, highlighting the company's highest operating margin in two years in the September quarter.
He expressed eagerness to maintain this operating discipline and revealed that AI will be Meta's primary investment focus in 2024.
