Meta Beats Q3 Estimates with 19% Revenue Growth, Raises Capex Guidance; Reality Labs Losses at $4.4B

Oct 30, 2024, 08:09 PM

Meta Platforms reported third-quarter 2024 earnings that surpassed analyst expectations, with revenue rising 19% year-over-year to $40.59 billion, exceeding estimates of $40.25 billion. The company’s net income increased 35% to $15.69 billion, resulting in earnings per share of $6.03, beating the expected $5.25. Ad revenue reached $39.89 billion, above the estimated $39.71 billion, as ad impressions grew by 7% and the average price per ad increased by 11%. Daily active people reached 3.29 billion, an increase of 5% from the previous year. Meta provided guidance for fourth-quarter revenue between $45 billion and $48 billion, slightly ahead of analysts’ estimates at the midpoint. The company raised its full-year 2024 capital expenditures forecast to $38-40 billion, up from previous guidance of $37-40 billion, and indicated significant capex growth in 2025. Meta repurchased $8.9 billion in shares during the quarter. Despite strong overall performance, Reality Labs revenue declined to $270 million, and the division posted an operating loss of $4.4 billion.