Some Key points from Meta Q4 2023 earnings conference call

  1. User Engagement and Growth:
  1. “More than 3.1 billion people use at least one of our apps each day.”
  1. Revenue and Growth:
  1. “Returned to strong revenue growth.”
  2. “Reality Labs crossed $1 billion in revenue in Q4 for the first time.”
  1. Product and Feature Engagement:
  1. “Threads now has more people actively using it today than it did during its initial launch peak.”
  2. “Quest app was the most downloaded app in the App Store on Christmas Day.”
  1. AI and Infrastructure:
  1. “By the end of this year, we’ll have about 350,000 H100s, and including other GPUs, that will be around 600,000 H100 equivalents of compute.”
  2. “State-of-the-art large language models have been trained on roughly 10x the amount of compute each year.”
  1. Financials and Investments:
  1. “Fourth quarter operating income was $16.4 billion, representing a 41% operating margin.”
  2. “Net income was $14 billion or $5.33 per share.”
  3. “Capital expenditures, including principal payments on finance leases, were $7.9 billion.”
  4. “Free cash flow was $11.5 billion.”
  5. “End of the year with $65.4 billion in cash and marketable securities and $18.4 billion in debt.”
  6. “Repurchased $6.3 billion of our Class A stock, bringing total share repurchases for the full year to $20 billion.”
  7. “Had $30.9 billion remaining on our prior authorization as of December 31.”
  8. Announced a “$50 billion increase in our stock repurchase authorization.”
  1. Family of Apps Segment:
  1. “Full year 2023, Family of Apps total revenue was $133 billion and ad revenue was $131.9 billion, each up 16% year-over-year.”
  2. “Q4 total Family of Apps revenue was $39 billion, up 24% year-over-year.”
  3. “Q4 Family of Apps ad revenue was $38.7 billion, up 24%.”
  4. “Family of Apps other revenue was $334 million in Q4, up 82%.”
  5. “Family of Apps expenses were $18 billion in Q4.”
  6. “Family of Apps operating income was $21 billion, representing a 54% operating margin.”
  1. Reality Labs Segment:
  1. “Q4 revenue was $1.1 billion, up 47%.”
  2. “Reality Labs expenses were $5.7 billion, up 14% year-over-year.”
  3. “Reality Labs operating loss was $4.6 billion.”
  1. Outlook and Projections:
  1. “First quarter 2024 total revenue to be in the range of $34.5 billion to $37 billion.”
  2. “Full year 2024 total expenses to be in the range of $94 billion to $99 billion.”
  3. “Full year 2024 capital expenditures will be in the range of $30 billion to $37 billion.”
  4. “Expect our full year 2024 tax rate to be in the mid-teens.”