Reports Q1 $6.43 v $5.22e, Rev $42.3B v $41.2Be; Raises Capex guidance citing additional data center investments to support AI efforts as well as an increase in the expected cost of infrastructure hardware
Wednesday, April 30, 2025 4:05:17 PMEST
- Guides Q2 Rev $42.5-45.5B v $43.3Be
- Raises FY25 Capex $64-72B (prior: $60-65B)
- Cuts FY25 Total expenses $113-118B (prior: $114-119B)
- Ad impressions +5% y/y
- Average price per ad +10% y/y
- Family daily active people (DAP) 3.43B, +6% y/y
- CAPEX $13.69B
- Advertising Rev $41.4B v $40.5Be
- Total costs/expenses $24.76B, +9.0% y/y
- Op margin 41% v 38% y/y
- Headcount 76.8K, +11% y/y
- CEO: "We've had a strong start to an important year, our community continues to grow and our business is performing very well," said Mark Zuckerberg, Meta founder and CEO. "We're making good progress on AI glasses and Meta AI, which now has almost 1 billion monthly actives."
In addition, we continue to monitor an active regulatory landscape, including legal and regulatory headwinds in the EU and the U.S. that could significantly impact our business and our financial results. The European Commission (EC) recently announced its decision that our subscription for no ads model is not compliant with the Digital Markets Act (DMA). Based on feedback from the EC in connection with the DMA, we expect we will need to make some modifications to our model, which could result in a materially worse user experience for European users and a significant impact to our European business and revenue as early as the third quarter of 2025. We will appeal the EC's DMA decision but any modifications to our model may be imposed before or during the appeal process.
**NOTE: 02/25 META *Said to be considering $200B AI data center campus project - TheInformation
~
- Raises FY25 Capex $64-72B (prior: $60-65B)
- Cuts FY25 Total expenses $113-118B (prior: $114-119B)
- Ad impressions +5% y/y
- Average price per ad +10% y/y
- Family daily active people (DAP) 3.43B, +6% y/y
- CAPEX $13.69B
- Advertising Rev $41.4B v $40.5Be
- Total costs/expenses $24.76B, +9.0% y/y
- Op margin 41% v 38% y/y
- Headcount 76.8K, +11% y/y
- CEO: "We've had a strong start to an important year, our community continues to grow and our business is performing very well," said Mark Zuckerberg, Meta founder and CEO. "We're making good progress on AI glasses and Meta AI, which now has almost 1 billion monthly actives."
In addition, we continue to monitor an active regulatory landscape, including legal and regulatory headwinds in the EU and the U.S. that could significantly impact our business and our financial results. The European Commission (EC) recently announced its decision that our subscription for no ads model is not compliant with the Digital Markets Act (DMA). Based on feedback from the EC in connection with the DMA, we expect we will need to make some modifications to our model, which could result in a materially worse user experience for European users and a significant impact to our European business and revenue as early as the third quarter of 2025. We will appeal the EC's DMA decision but any modifications to our model may be imposed before or during the appeal process.
**NOTE: 02/25 META *Said to be considering $200B AI data center campus project - TheInformation