What You Need To Know Ahead of Meta’s Earnings Report

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Analysts anticipate that Meta Platforms will reveal its first-quarter 2024 earnings on Wednesday, April 24, after the market closes. They predict that Meta’s revenue and income will show an increase from the previous year but a decrease from the last quarter. Analysts are optimistic about Meta reporting robust ad revenue growth for the latest quarter and providing updates on its AI initiatives and their impact on business segments.
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Analysts forecast that Meta’s revenue for the first quarter of 2024 will be $36.24 billion, a decrease from the previous quarter but an increase from $28.65 billion in the same period in 2023. Adjusted net income is expected to be $14.39 billion, a decline from the fourth quarter but a significant increase from $8.58 billion in Q1 2023. Analysts are closely monitoring Meta’s advertising revenue growth, with CFRA analysts projecting a 26% increase, which they believe could represent a peak growth rate.

  1. Meta Platforms saw an increase in shares on Thursday following the announcement of Meta AI, an artificial intelligence assistant integrated into Facebook, Instagram, and WhatsApp. This AI assistant, powered by Meta’s latest model Llama 3, aims to compete with Microsoft’s ChatGPT and Google’s Gemini chatbot.
  2. Meta AI, built on Meta’s advanced AI model Llama 3, is considered the most intelligent AI assistant available for free. The company plans to expand its availability beyond the U.S. to countries like Australia and Canada.
  3. Meta AI offers real-time information and features a GenAI image creator. It is integrated into Meta’s platforms and the company also launched a meta.ai website to rival OpenAI’s ChatGPT. Meta’s shares have increased by over 42% since the beginning of the year.