Key takeaways
- Meta’s revenue for Q2 increased by 22% year-over-year, reaching $47.52 billion, largely surpassing forecasts, fueled by a 21% rise in AI-driven digital ad sales.
- CEO Mark Zuckerberg emphasized the company’s pursuit of “personal super intelligence,” supported by significant investments in AI systems.
- In spite of ongoing losses in Reality Labs, robust sales of Ray-Ban Meta Smart Glasses and Meta Quest headsets generated $370 million in revenue, which is a 5% increase compared to Q2 2024’s $353 million.
On Wednesday, Meta disclosed its earnings for the second quarter, showing a 22% rise in total revenue year-over-year, amounting to $47.52 billion just in Q2. Following the earnings release, Meta’s stock price surged by about 10%.
“This quarter was strong for both our business and community,” remarked Mark Zuckerberg, Meta’s founder and CEO, in the announcement. “I’m eager to create personal super intelligence for everyone across the globe.”
Meta credits its impressive financial performance to the digital advertising segment, which earned $46.56 billion, making up about 98% of total revenue, reflecting a 21% increase year-over-year. This figure appears to exceed analysts’ expectations of $44.07 billion. Zuckerberg noted during the earnings call that the strong trend in digital advertising was bolstered by AI, leading to about 5% more ad conversions on Instagram and 3% on Facebook.