Company news: Meta Platforms’ (META) quarterly results beat analysts’ expectations

Meta Platforms (META) reported Q1 FY2024 earnings of $4.71 per share (versus $2.20 per share in Q1 FY2023), beating analysts’ consensus estimate of $4.32 per share.

The company’s quarterly revenues amounted to $36.455 bln (+27.3% y/y), beating analysts’ consensus estimate of $36.143 bln.

The company also issued in-line Q2 FY2024 revenue guidance of $36.5-$39.0 bln versus analysts’ consensus estimate of $38.25 bln.

In addition, it increased FY2024 CAPEX guidance to $35-$40 bln from $30-$37 bln and raised the low end of expense guidance to $96-$99 bln from $94-$99 bln due to higher infrastructure and legal costs.

Meta noted it expects its capital expenditures will continue to increase next year as it invests aggressively to support its ambitious AI research and product development efforts.

On the conference call, the company also said it plans to shift many existing resources to focus on AI, which will be a multi-year investment cycle.

META fell to $427.85 (-13.30%) in pre-market trading.