Meta marks a ‘strong start’ to an ‘important year’ as it posts $42.31 billion in Q1

Media - Meta - New Bargaining incentive

Will Easton: ‘It has been a strong start to 2025 with Meta’s Family of Apps continuing to grow and be an integral part of the Australian community.’

Meta has posted $42.31 billion, an increase of 16% year-over-year from 2024’s $36.45 billion in Q1 of 2025.

The tech giant has reported family daily active people of 3.43 billion on average for March 2025, an increase of 6% year-over-year. Among Meta’s family of apps, WhatsApp has reportedly more than 3 billion monthly actives and tens of billions of Status posts viewed on WhatsApp each day.

Threads has now more than 350M monthly actives. Messenger is used by more than a billion people each month while has many Instagram messages sent each day as on Messenger.

In terms of ad impressions, Meta’s Family of Apps has reported an increase of 5% year-over-year. The tech giant said they are continuing to drive ad performance improvements and year-over-year conversion growth remains strong. They said they will continue to see conversions grow at a faster rate than ad impressions in Q1, reflecting increased conversion rates.

Meta said that advertisers using Incremental Attribution in tests are seeing an average 46% lift in incremental conversions compared to their business-as-usual-approach. It also noted that as of now the vast majority of its business is advertising in feeds on Facebook and Instagram.

Meta - Will Easton

Will Easton: ‘We continue to launch new innovative products for our users in Australia and New Zealand, such as yesterday’s release of the Meta AI app built with Llama 4, along with more natural voice interaction.’

“It has been a strong start to 2025 with Meta’s Family of Apps continuing to grow and be an integral part of the Australian community,” Will Easton, Managing Director Meta Australia and New Zealand, said.

“Our ongoing investments in AI continue to help advertisers connect with their audiences more effectively to drive growth, making us a leading choice for businesses looking to expand into markets both here and overseas.

“We continue to launch new innovative products for our users in Australia and New Zealand, such as yesterday’s release of the Meta AI app built with Llama 4, along with more natural voice interaction. We’ve also expanded our retail footprint for the Ray-Ban Meta glasses in Australia and seen increased use of the built-in AI features.”

Meta’s ongoing innovations in AI

In terms of AI, Meta reported almost a billion monthly actives using Meta AI.

The tech giant noted that it began Meta AI’s ability to remember certain details from people’s prior queries and consider what that person engages with on our apps to better personalise its responses earlier in the year. “We are already seeing this lead to deeper engagement with people we’ve rolled it out to,” they said.

Meta alsi released the first Llama 4 models earlier this month, which they describe as “some of the most intelligent, best multi-modal, lowest latency, and most-efficient models that anyone has built.”

Looking back at the last six months, improvements to its recommendation systems has reportedly led to a 7% increase in time spent on Facebook, 6% increase on Instagram, and 35% on Threads.

Meta noted that there are 30% more advertisers are using AI creative tools in the last quarter and that they are testing new AI-powered ads recommendation model on Facebook Reels, which has already increased conversion rates by 5%.

The new AI-powered ads recommendation model uses an architecture Meta developed that is twice as efficient as prior generations at producing performance improvements for a given amount of data and computer.

Meta has also began testing using Llama in Threads recommendation systems at the end of last year given the app’s text-based content, and have already seen a 4% lift in time spent from the first launch.

Meta - Mark Zuckerberg

Mark Zuckerberg: ‘We’re making good progress on AI glasses and Meta AI, which now has almost 1 billion monthly actives.’

Mark Zuckerberg, Meta founder and CEO, said: “We’ve had a strong start to an important year, our community continues to grow and our business is performing very well. We’re making good progress on AI glasses and Meta AI, which now has almost 1 billion monthly actives.”

Meta expects second quarter 2025 total revenue to be in the range of $42.5-45.5 billion, according the CFO outlook commentary.

“Our guidance assumes foreign currency is an approximately 1% tailwind to year-over-year total revenue growth, based on current exchange rates. We expect full year 2025 total expenses to be in the range of $113-118 billion, lowered from our prior outlook of $114-119 billion.”

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