Meta and Microsoft Shares Rise on Stronger-Than-Expected Earnings
Meta Beats Earnings
- Revenue: Est. $41.38B | Actual $42.31B
- EPS: Est. $5.27 | Actual $6.43
Meta Platforms saw good first-quarter numbers with an earnings-per-share figure of $6.43 on revenue of $42.31 billion—both significantly more than expected. The upbeat report propelled shares nearly 4% higher in after-hours trading and illustrated the firm's continued traction in digital ads amidst trade-policy angst and broader tech industry jitters. Meta raised its 2025 capital expenditure forecast to a range of $64 billion to $72 billion, up from its previous estimate of $60 billion to $65 billion.
Meta CFO Outlook Commentary
We expect second quarter 2025 total revenue to be in the range of $42.5-45.5 billion. Our guidance assumes foreign currency is an approximately 1% tailwind to year-over-year total revenue growth, based on current exchange rates.
Microsoft Beats Earnings
- Revenue: Est. $68.4B | Actual $70.07
- EPS: Est. $3.21 | Actual $3.46
Microsoft posted a stellar quarter with a 13% year-on-year revenue growth to $70.1 billion and adjusted profit of $3.46 a share, toppling analyst predictions. Azure, the company's cloud computing business, continued on its hot streak with 33% growth—a testament to Microsoft's strategic head start in the enterprise AI space. Shares increased 6% in after-market trading, with investors welcoming the strong results against a turbulent macro backdrop. Despite tariff uncertainty and its year-to-date decline in stock, Microsoft's earnings sustained confidence in its underlying growth drivers.
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