Meta Posts First-Ever Revenue Drop for Q2, Blames ‘Macroeconomic Uncertainty’
variety.comTodd Spangler NY Digital EditorAfter years of the sales arrow only pointing up, Meta — the company formerly known as Facebook — has turned in its first quarterly revenue decline.For the second quarter of 2022, Meta reported $28.82 billion on the top line, down 1% year over year.
Net income fell 36%, to $6.69 billion, or $2.46 per share. It also issued a weak forecast for Q3.Click here to sign up for Variety’s free Strictly Business newsletter covering earnings, financial news, and more.Wall Street on average expected Meta to report $28.94 billion in revenue and earnings of $2.61 per share, according to Refinitiv.Q3 revenue is expected to be $26 billion-$28.5 billion, CFO Dave Wehner said in announcing the results — essentially flat to down compared with $28.3 billion in the third quarter of 2021.
The outlook “reflects a continuation of the weak advertising demand environment we experienced throughout the second quarter, which we believe is being driven by broader macroeconomic uncertainty,” he said in a statement.
Meta also expects Q3 revenue for Reality Labs, its AR and VR division, to be lower than second-quarter revenue, which came in at $452 million (up 48% year over year).
Read more on variety.com
