Meta stock perks up as the company promises a 'year of efficiency'

Meta is committed to turning into a lean, mean, money-printing machine. In his remarks on the company's near-future objectives and ambitions during the company's Q4 earnings call on Wednesday, Meta CEO Mark Zuckerberg painted a picture of a tech behemoth that is moving in the direction of leaning down and accelerating. The business generated $32.2 billion in sales in the last quarter of 2022, exceeding estimates. As of September 2022, Facebook has 2.96 billion monthly active users and 1.98 billion daily active users, both slight increases from the previous quarter. These gains, together with Meta's strong cost-cutting measures and its assurance of an effective 2023, increased stock prices in after-hours trading by almost 15%. In the financial downturn of 2022, Meta suffered significantly, losing as much Throughout the course of the year, as much as 60% of its worth.In the earnings call, Zuckerberg stated, "We're going to be more aggressive about removing initiatives that aren't working or might no longer be as necessary." But my major priority is to improve the effectiveness with which we carry out our key priorities. Although this most recent quarter does not take into account the 11,000 positions that the corporation shed in November, Meta has also reduced its workforce by a sizable 13%.

We're focused on growing into a stronger and more agile corporation, and our management theme for 2023 is the "Year of Efficiency," Zuckerberg added. The chief executive of Meta identified the company's algorithmic recommendation engine and Instagram Reels as two key areas of concentration in the upcoming months during the conference call. Overall, Zuckerberg substantially downplayed the metaverse, the idea that the firm renamed around in 2021, in favour of highlighting Meta's more contemporary AI efforts.

Facebook and Instagram are becoming significantly more relevant by providing material that is suggested by our AI algorithms rather than just being organised around the people and accounts you follow, according to Zuckerberg. And since Reels is expanding so fast, we're particularly focused on short-form video, which is something that distinguishes our services from others.