Meta Platforms Shares Jump on Q4 Results

Sign at Meta headquarters with logo
David Paul Morris/Bloomberg/Getty

Key Takeaways

  • Meta Platforms (META), parent company of Facebook, reported fourth quarter 2022 financial results after the markets closed on Feb. 1, 2023.
  • The social media giant's revenue came in ahead of expectations, while EPS fell short of analysts' forecasts.
  • Meta shares soared following the release, which also highlighted record user numbers and announced a $40 billion stock buyback.

Meta Platforms (META) shares soared in extended trading after the parent of Facebook, Instagram, and WhatsApp posted better-than-expected revenue, set a user record, and announced a $40 billion stock buyback.

Meta reported fourth quarter sales that fell 4.5% to $32.17 billion, beating analysts' forecasts. Earnings per share (EPS) of $1.76 came in short of estimates.

The company said that Facebook had an average of 2 billion daily active users (DAU) for the first time ever, an increase of 4% from the year before. Monthly active users (MAU) rose 2% to an average of 2.96 billion.

CEO Mark Zuckerberg explained that the progress of Meta's artificial intelligence (AI) discovery engine and its Reels video content format were major drivers of its engagement growth. He added that the company's 2023 management theme is the "Year of Efficiency" with a focus on becoming a stronger and more nimble organization.

CFO Susan Li said Meta expects current quarter revenue to be in the range of $26 billion to $28.5 billion. Analysts had been looking for a little more than $27 billion.

Restructuring Charge

Meta noted that it took a $4.2 billion charge in the quarter to pay for a restructuring that included laying off 11,000 workers. Li added that, for the full year, the company's restructuring charges, total expenses, and capital expenditures will all be less than previously anticipated.

Shares of Meta Platforms jumped 18% in after-hours trading.

Chart showing the share price performance of Meta Platforms (META) on Feb. 1, 2023


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  1. Meta Platforms. "Meta Reports Fourth Quarter and Full Year 2022 Results."

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