Meta gave 6 executives options worth up to $921M each, then cut 8,000 jobs after a record $56.3B quarter

[UpInArms]

In April, Meta's earnings report revealed it (1)had its best first quarter in company history. Their revenue hit $56.3 billion, up 33% year-over-year, which is the fastest growth it has seen since 2021. Their net income landed at $26.8 billion. And yet, just after the report's release, Meta stock fell about 7% in extended trading (2).

A week before (3) the earnings report, Meta had notified roughly 8,000 employees they were losing their jobs. And six weeks before that, it had quietly granted six senior executives stock packages that could be worth as much as $921 million each, if Meta becomes the most valuable company of all time. To do this, Meta would need to beat out Nvidia for that title. That being said, for now, those options pay nothing.

A closer look at what these numbers mean

Huge layoffs followed by a successful earnings report might seem a bit contradictory, so here's a closer look at the numbers Meta is dealing with.

The $56.3 billion was the most Meta had ever made in three months. The company runs one of the most efficient advertising businesses on the planet: more than $55 billion of that Q1 total came from ads, with a 19% rise in ad impressions and a 12% jump in the average price per ad (4). When both volume and price climb together, it's a clear sign the business is growing its audience, and also getting better at monetizing it.

More at:

https://finance.yahoo.com/markets/stocks/articles/meta-gave-6-executives-options-162000923.html