Meta Q2 results: Facebook-parent's ad revenue rose 22%; Threads set to hit 200 mn MAUs
"We had a strong quarter, and Meta AI is on track to be the most used AI assistant in the world by the end of the year," said Mark Zuckerberg, Meta founder and CEO.
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Meta reported financial results for the quarter ended June 30, 2024. The Facebook parent reported second-quarter revenue growth of 22% from $32 billion a year earlier and net income rose 73% to $13.47 billion from $7.79 billion, a year earlier. Advertising revenue jumped 22% from the previous year. Meta's ad revenue comes mainly from its Facebook and Instagram platforms.
"We had a strong quarter, and Meta AI is on track to be the most used AI assistant in the world by the end of the year," said Mark Zuckerberg, Meta founder and CEO. "We've released the first frontier-level open source AI model, we continue to see good traction with our Ray-Ban Meta AI glasses, and we're driving good growth across our apps."
Meta expects third quarter 2024 total revenue to be in the range of $38.5-41 billion.
Meta's Twitter-like (now known as X) platform, Threads, is about to hit 200 million monthly active users (MAUs), Zuckerberg said on July 31. The app now has nearly one-third of X's 600 million user base in just about a year of its launch.
"We're making steady progress towards building what looks like it’s going to be another major social app. We're seeing deeper engagement and I'm quite pleased with the trajectory here," Zuckerberg said during the company's earnings call on July 31.
Second Quarter 2024 Operational and Other Financial Highlights
Family daily active people (DAP) – DAP was 3.27 billion on average for June 2024, an increase of 7% year-over-year.
Ad impressions – Ad impressions delivered across our Family of Apps increased by 10% year-over-year.
Average price per ad – Average price per ad increased by 10% year-over-year.
Revenue – Total revenue was $39.07 billion, an increase of 22% year-over-year. Revenue on a constant currency basis would have increased 23% year-over-year.
Costs and expenses – Total costs and expenses were $24.22 billion, an increase of 7% year-over-year.
Capital expenditures – Capital expenditures, including principal payments on finance leases, were $8.47 billion.
Capital return program – Share repurchases were $6.32 billion of our Class A common stock and dividend payments were $1.27 billion.
Cash, cash equivalents, and marketable securities – Cash, cash equivalents, and marketable securities were $58.08 billion as of June 30, 2024. Free cash flow was $10.90 billion.
Headcount – Headcount was 70,799 as of June 30, 2024, a decrease of 1% year-over-year.
