summary
Meta (META)'s performance wasn't impressive, but the increase in advertising business revenue that exceeded expectations boosted the stock price.
Currently, the focus of market attention is still on whether Meta (META) advertising business can continue to recover and whether losses in the virtual reality business can continue to shrink.
Cats and cats believe that in the absence of absolutely favorable performance, the probability that Meta (META) wants to make up for the gap in one go is relatively low, and there is a need for stock prices to adjust and stabilize in the short term.
Main text
1. What happened
On April 27, Meta (META) announced results for the first quarter of 2023. Before the results were announced, stock prices rose sharply by 12% after the market.
According to performance data, Meta (META)'s first-quarter revenue increased 3% year-on-year to 28.645 billion US dollars, exceeding market expectations of 27.61 billion US dollars.
Net profit decreased 24% year over year to US$5.709 billion, operating profit decreased 15% year over year to US$7.227 billion, and operating profit margin was 25%.
Adjusted earnings per share were $2.20, exceeding market expectations of $2.02.
In terms of business segmentation, Meta (META)'s first-quarter advertising revenue increased 4.09% year-on-year to US$28.101 billion, while revenue from other businesses decreased 4.65% year-on-year to US$215 million.
Taken together, the two businesses mentioned above collectively referred to as the total revenue of the App Family Business of US$28.306 billion, compared to US$27.213 billion in the same period last year.
Virtual reality experiments...