Home Business A dramatic drop in “Meta” profits .. Zuckerberg blames the “stressful” economic...

A dramatic drop in “Meta” profits .. Zuckerberg blames the “stressful” economic atmosphere

Meta, the parent company of Facebook, announced that its profits fell more than 50% to $ 4.4 billion in the third quarter, compared to $ 9.2 billion in the same period last year, and indicated that intends to make “major changes” to improve efficiency in the economy pressure atmosphere.

The social network is facing a freeze in the number of users and cuts to budget advertising, and indicated that its revenue fell to $ 27.7 billion from last year’s $ 29 billion.

“We are approaching 2023 and our goal is to prioritize and effectively help us move forward in the current (economic) environment to strengthen the company,” said Mark Zuckerberg, CEO of Meta.

“Meta” shares fell 19.1% to $ 105 per share in trading post-closure, a price lower than two thirds compared to the beginning of the year.

In a statement to analysts, Zuckerberg indicated “difficult dynamics” for the group as “a volatile macroeconomy, increased competition, lost advertising and rising costs for long-term investments”, stressing that “the prospects for our products, from that that I see, they are better than some comments indicate “.

Facebook’s number of monthly active users only increased by 2% to 2.96 billion at the end of September, Meta reported. The number of employees of the giant group has jumped to 87,314 employees, a 28% increase from last year, according to its report.

“We are making major changes across all divisions to increase operational efficiency,” the group’s report states.

The group indicated that it intends to monitor the number of employees over the next year.

Zuckerberg said that Meta, in its pursuit of the expense era, will focus on artificial intelligence, in particularly in the field of “Rails” for the creation of short videos.

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