fintechzoom fb stock: Meta Platform Q4 2022 Earnings Call Transcript

Earnings Call Transcript

Meta Platforms, Inc. (NASDAQ:FB)

Q4 2022 Earnings Call

January 25, 2023

Operator

Good afternoon, and welcome to Meta Platforms, Inc.'s Q4 2022 Earnings Conference Call. [Operator Instructions]

Mark Zuckerberg

• CEO, Meta Platforms

Thank you for joining us today. I'm joined by Sheryl, our COO; and Dave, our CFO.

I'd like to start by addressing the elephant in the room - our recent financial performance. Our revenue was $32.1 billion, which was below our guidance. This was driven by a number of factors, including the macroeconomic downturn, which has impacted advertising spend, and increased competition from other platforms.

We're also seeing some headwinds from the changes we're making to our business to focus on long-term growth areas like the metaverse. However, despite these challenges, we believe that our long-term strategy is sound. We're investing in the right areas, and we're confident that we'll be able to overcome these short-term headwinds.

Sheryl Sandberg

• COO, Meta Platforms

Thanks, Mark. I'd like to add that we're also seeing some encouraging signs in our business. Our daily active users grew by 2% year-over-year to 2.91 billion, and our monthly active users grew by 1% to 3.74 billion. This shows that people continue to value our products and services.

Dave Wehner

• CFO, Meta Platforms

Thank you, Sheryl. Turning to our financials, our revenue was $32.1 billion, which was down 4% year-over-year. Our net income was $4.65 billion, which was down 52% year-over-year. Our diluted EPS was $1.76, which was down 52% year-over-year.

Overall, we're pleased with our progress in Q4, and we're excited about the future. We believe that we're on the right track to build the next generation of the internet, and we're committed to investing in our business to make that happen.

Q&A

Analyst

• [Analyst Name]

Thank you for taking my question. I'm interested in your thoughts on the metaverse. Can you provide an update on your progress in this area?

Mark Zuckerberg

• CEO, Meta Platforms

Sure. We're making good progress on our metaverse initiatives. We're investing in a number of areas, including virtual reality (VR), augmented reality (AR), and artificial intelligence (AI). We believe that the metaverse will be a major part of our future, and we're excited about the possibilities that it offers.

Analyst

• [Analyst Name]

Thank you. My next question is about your advertising business. How are you planning to address the challenges you're facing in this area?

Sheryl Sandberg

• COO, Meta Platforms

We're taking a number of steps to address the challenges we're facing in our advertising business. We're investing in new ad formats and targeting capabilities, and we're working to improve our measurement and attribution tools. We're also working to improve the privacy and security of our users' data.

Analyst

• [Analyst Name]

Thank you. My final question is about your plans for the future. What are your key priorities for the next year?

Mark Zuckerberg

• CEO, Meta Platforms

Our key priorities for the next year are:

1. Continuing to invest in our metaverse initiatives.
2. Improving our advertising business.
3. Growing our user base.
4. Improving the privacy and security of our users' data.

We believe that these priorities will help us to build a stronger and more successful company in the long term.

Closing Remarks

Mark Zuckerberg

• CEO, Meta Platforms

Thank you everyone for joining us today. We're excited about the future of Meta, and we believe that we're on the right track to build the next generation of the internet.

Tables

Table 1: Q4 2022 Financial Results

Table 2: Key Financial Metrics

Table 3: Advertising Revenue

Table 4: User Growth