What you need to know
- Meta announced Q3 2022 earnings on Wednesday, with $27.7 billion in revenue.
- This represents a 4% year-over-year decrease, which Meta blames on foreign exchange rates.
- Meta says it will continue to focus on efficiency and expects its total headcount to remain roughly the same through next year.
Earnings season continues as Meta announces its Q3 2022 financial report. The company brought in $27.7 billion in revenue during the three months ending in September, which represents a 4% decrease from the same period last year.
Despite that, Meta’s usage has increased on all accounts, with a 17% increase in ad impressions. However, the company saw an 18% decrease in price-per-ads which undoubtedly contributed to its revenue woes.
Meta also attributes the lower revenue to foreign exchange rates, saying that revenue could have been “$1.79 billion higher” if exchange rates had remained consistent with Q3 2021.
“Our community continues to grow and I’m pleased with the strong engagement we’re seeing driven by progress on our discovery engine and products like Reels,” said Meta CEO Mark Zuckerberg in a statement. “While we face near-term challenges on revenue, the fundamentals are there for a return to stronger revenue growth. We’re approaching 2023 with a focus on prioritization and efficiency that will help us navigate the current environment and emerge an even stronger company.”
Like many other Big Tech companies, Meta has been focused on keeping the company efficient and slowing hiring. As a result, Meta says its headcount by the end of 2023 “will be approximately in-line with third quarter 2022 levels.”
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