Here Are the Key Takeaways From Meta’s First-Quarter Earnings

Here are the key takeaways from Meta Platforms Inc.’s first-quarter earnings release and call Wednesday:

(Bloomberg) — Here are the key takeaways from Meta Platforms Inc.’s first-quarter earnings release and call Wednesday:

Meta shares soared after the company beat expectations for both revenue and user growth. It also cut its expense forecast for the year, from a range as high as $92 billion to $90 billion. Sales grew last quarter for the first time in almost a year.
As expected, Chief Executive Officer Mark Zuckerberg talked a lot about AI, but made a point of emphasizing that the metaverse was still important.
Chief Financial Officer Susan Li spoke frequently efficiency, from finishing up the latest rounds of layoffs to winding down low-priority projects and using AI to be more productive.
Meta plans to resume hiring after completing layoffs next month. The company expects to add staff in Reality Labs, ad infrastructure and, of course, generative AI.
Reels short-form videos have been increasing the time that users spend on both Instagram and Facebook. Meta is also using AI to increase Reels monetization, which is up 30% on Instagram and 40% on Facebook. However, Reels did cannibalize some time spent on Feed and Stories, Li said.

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