Meta Q4 Earnings: Beats Expectations, Forecasts Revenue Slowdown
Meta (META) reported strong fourth-quarter earnings, surpassing analysts' estimates. Despite forecasting a slowdown in revenue growth, shares rose in pre-market trading.
Key Financial Highlights:
* EPS: $8.02 (vs. expected $6.75)
* Revenue: $48.4 billion (vs. expected $46.9 billion)
* Full-Year Net Income: $62.4 billion (up 59%)
Guidance and Outlook:
* Q1 revenue: $39.5-$41.8 billion (8%-15% growth)
* Declined to provide full-year revenue forecast
* Expenses expected to grow faster in 2025, driven by infrastructure and employee compensation
* Remain optimistic about AI, VR/AR, and social media innovation
AI Investments and Infrastructure:
* Plan to spend $60-$65 billion on AI infrastructure in 2024
* Construction of a massive data center in Manhattan
Executive Commentary:
* CEO Mark Zuckerberg: "Excited to see these efforts scale further in 2025."
* CFO Susan Li: "We expect the single largest driver of expense growth in 2025 to be infrastructure costs."
Other News:
* Meta settled a lawsuit with former President Trump for $25 million.
* CEO Zuckerberg and Lauren Sanchez attended President Trump's inauguration ceremony.