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Sep 30, 2024

Meta Q3 2024 Earnings Report

Meta reported a strong quarter driven by AI advancements and growth across its apps and business.

Key Takeaways

Meta's Q3 2024 earnings showcased significant growth, with revenue reaching $40.59 billion, a 19% increase year-over-year. Net income surged to $15.69 billion, reflecting a 35% rise. The company's focus on AI and immersive experiences is driving momentum.

Revenue increased by 19% year-over-year to $40.59 billion.

Net income grew by 35% year-over-year to $15.69 billion.

Family daily active people (DAP) reached 3.29 billion in September 2024, a 5% increase year-over-year.

Ad impressions across the Family of Apps increased by 7% year-over-year, with average price per ad up by 11%.

Total Revenue
$40.6B
Previous year: $34.1B
+18.9%
EPS
$6.03
Previous year: $4.39
+37.4%
Daily Active People
3.29B
Previous year: 3.14B
+4.8%
Ad impressions increase
7%
Previous year: 31%
-77.4%
Average price per ad
11%
Previous year: -6%
-283.3%
Gross Profit
$33.2B
Previous year: $27.9B
+18.9%
Cash and Equivalents
$43.9B
Previous year: $36.9B
+18.9%
Free Cash Flow
$15.5B
Previous year: $13.6B
+13.8%
Total Assets
$256B
Previous year: $216B
+18.6%

Meta

Meta

Meta Revenue by Segment

Forward Guidance

Meta expects fourth quarter 2024 total revenue to be in the range of $45-48 billion. Full-year 2024 total expenses are expected to be in the range of $96-98 billion. Full-year 2024 capital expenditures will be in the range of $38-40 billion.

Positive Outlook

  • Fourth quarter revenue is expected to be between $45 and $48 billion.
  • Foreign currency impact is expected to be neutral to year-over-year revenue growth.
  • Full-year 2024 expense guidance updated to $96-98 billion.
  • Continued product development efforts and investments to scale the ecosystem.
  • Significant capital expenditure growth expected in 2025.

Challenges Ahead

  • Reality Labs operating losses are expected to increase meaningfully year-over-year.
  • Significant acceleration in infrastructure expense growth expected next year.
  • Higher growth in depreciation and operating expenses of expanded infrastructure fleet.
  • Active regulatory landscape, including increasing legal and regulatory headwinds in the EU.
  • Regulatory headwinds in the U.S. that could significantly impact our business and our financial results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income