Meta Prepares to Release Q4 2021 Earnings Amid Heavy Scrutiny
Meta is set to reveal its fourth-quarter 2021 financial results, with analysts projecting strong sales and earnings despite ongoing privacy headwinds and public controversies.
Meta prepares to disclose its fourth-quarter 2021 earnings report on February 2, marking a significant milestone since the company officially changed its name from Facebook. Analysts generally expect sales of $33.4 billion and earnings per share of $3.85, maintaining a "buy" rating on the stock. The company anticipates overall revenue between $31.5 billion and $34 billion, which represents a 12% to 21% year-over-year increase despite facing severe macroeconomic and pandemic-related uncertainties.
In the previous quarter, Meta demonstrates solid growth with earnings per share rising 18.8% and profits surpassing $10.4 billion. The total family of apps, including Facebook, Instagram, Messenger, and WhatsApp, reaches 3.58 billion monthly active users, showing a 12% year-over-year increase. However, advertising revenue experiences a slight sequential decline, highlighting the ongoing impact of Apple's iOS 14 privacy revisions on the company's primary business model.
CEO Mark Zuckerberg outlines a transformative new direction for the company, highlighted by a massive $10 billion investment in the Metaverse initiative. This strategic pivot occurs as Meta faces intense scrutiny from lawmakers, regulators, and the media following damaging whistleblower leaks. These revelations portray the company as prioritizing profits over user safety, adding a layer of public relations challenges to the upcoming financial disclosure.