Shares of Facebook parent Meta plunge 22% on lower profits
Meta, the company that owns Facebook, Instagram and WhatsApp, saw its stock plunge after-hours Wednesday after reporting a rare decline in its fourth quarter profit due to a sharp increase in expenses.
Meta Platforms Inc., which renamed itself during the quarter to reflect CEO Mark Zuckerberg’s ambition of building the “metaverse,” an expanded 3-D version of the internet where people could theoretically meet, work and play using virtual reality headsets, augmented reality glasses, smartphone apps or other devices.
Those investments accounted for much of the company’s profit decline.
Meta also forecast revenue below analysts’ expectations for the current quarter.