USA Facebook Group with leaps in turnover and profit
The Facebook group Meta recorded leaps in turnover and profit in the past quarter. Mark Zuckerberg's Meta Group uses advertising revenue to finance ambitious investments in artificial intelligence.
31.07.2024, 23:13
31.07.2024, 23:14
SDA
Facebook group Meta's advertising business is running at full speed. In the past quarter, Group revenue jumped by 22% year-on-year to a good 39 billion dollars. Profit rose by 73 percent to just under 13.5 billion dollars (12.44 billion euros).
With this financial cushion, founder and CEO Mark Zuckerberg wants to invest further in the development of artificial intelligence. The Meta AI chatbot is on its way to becoming the most-used AI assistant in the world by the end of the year, Zuckerberg emphasized after presenting the figures.
However, the AI visions also require high investments. Meta's expenditure rose by seven percent to 24.22 billion dollars in the last quarter. For this year, Meta is now expecting costs of between 37 and 40 billion dollars - and is preparing investors for the fact that they will grow "considerably" in 2025. Computing power for training AI models is particularly expensive.
The Reality Labs division, in which Meta combined its business with virtual worlds and computer glasses, continues to devour a lot of money. The division posted an operating loss of just under 4.9 billion dollars after a loss of 3.74 billion dollars a year ago. By contrast, the business with apps such as Facebook and Instagram generated an operating profit of 19.3 billion dollars in the past quarter.
Meta shares rose by around four percent at times in after-hours trading.
