Facebook parent Meta posts first ever revenue drop
Facebook parent Meta posted its first-ever revenue drop in the June 2022 quarter (Q2 2022). As per its second quarter 2022 results report, the total revenue dropped by 1 per cent YoY to $28.8 billion, and the company predicts a further revenue fall in the third quarter(July to September) to roughly $26 billion. In the last quarter, the overall profit of Meta also fell 36 per cent to $6.7 billion. Reality Labs, Meta’s division that is working on Mark Zuckerberg’s metaverse dreams, lost nearly $2.8 billion in the quarter. The fall in revenue is significant as Meta (erstwhile Facebook) sailed through multiple COVID-19 waves when the world was in fear of economic uncertainties. In Q2 2022, the company posted total revenue of $18.6 billion, while the total revenue in the second quarter of last year was $29 billion. The company’s revenue also grew annually both in 2020 and 2021. However, amid crumbling revenue, Meta said it managed to grow daily active users (DAU) margin by 3 per cent year-over-year basis. The DAU in June was 1.97 billion on average. It is still a good sign for the company as analysts feared a further drop since its DAU shrunk for the first time last year.
