The Meta company, formerly Facebook, just posted its Q2 2022 earnings results and much of it left a lot to be desired. The company missed on a few different metrics and expectations, including earnings-per-share and revenue. However, a notable thing also occurred in its Q2 miss. This is the first time Facebook has seen a decline in its revenues year-over-year.
Meta posted its Q2 2022 earnings results on its investor relations website on July 27, 2022. According to the release, Meta put up a revenue of $28.82 billion USD for Q2, falling short of estimates that expected the company to hit $29 billion. It wasn’t just against expectations, though, Meta also fell short of revenue comparisons year-over-year. In Q2 2021, Facebook achieved a revenue of around $29.08 billion, even then facing issues with cross-app tracking. Either way, Meta came up short for the first time in the company’s history.
Meta’s unique year-over-year decline wasn’t the only bad news to come out of the company’s Q2 2022 earnings results. Facebook Reality Labs lost around $2.8 billion throughout Q2 2022 as the company continues to invest heavily into VR products like the Meta Quest 2 and its metaverse ecosystem. This loss alongside cited troubles with the ongoing global economic issues may have contributed to Meta preparing to raise prices on the Meta Quest 2 in August 2022. Nonetheless, it would appear that Meta has experienced a rare miss in its year-to-year metrics and it will be interesting to see if the company bounces back in future quarters.
With Meta’s Q2 2022 earnings results in the book, it looks like a slump for the Facebook company. Stay tuned as we continue to cover quarterly financial earnings results in the tech industry.