October 25, 2023: Meta, the parent company of Facebook, Instagram, and WhatsApp, is scheduled to report its third-quarter earnings after the bell on Wednesday, October 26th. Analysts are expecting the company to report earnings of $3.45 per share on revenue of $31.85 billion.
Meta has been facing a number of challenges in recent months, including increased competition from TikTok and other social media platforms, as well as changes to Apple's privacy policy that have made it more difficult for Meta to track users across the web.
Despite these challenges, analysts are still expecting Meta to report solid earnings growth in the third quarter. The company is expected to benefit from the continued growth of its advertising business, as well as the continued growth of its user base.
Also Read - BitPay and Banxa Partner to Expand Crypto Payment Options Globally
Here are some of the key things to watch for in Meta's third-quarter earnings report:
- Revenue growth: Analysts are expecting Meta's revenue to grow by 20% year-over-year in the third quarter. This would be the company's highest rate of revenue growth since the fourth quarter of 2021.
- Earnings per share: Analysts are expecting Meta to report earnings per share of $3.45 in the third quarter. This would be up from $3.22 per share in the year-ago quarter.
- User growth: Meta's user base is expected to continue to grow in the third quarter. The company is expected to add an additional 5 million to 10 million daily active users (DAUs) in the quarter.
- Advertising revenue: Meta's advertising revenue is expected to grow by 20% year-over-year in the third quarter. This would be the company's highest rate of advertising revenue growth since the fourth quarter of 2021.
- Guidance: Meta is expected to provide guidance for the fourth quarter and for the full year in its earnings report. Analysts will be looking for guidance that is in line with or above their expectations.
Meta's earnings report will be closely watched by investors and analysts alike. The company is facing a number of challenges, but it is still expected to report solid earnings growth in the third quarter.