Zuckerberge, the CEO of Meta stated recently that new hiring in the company will remain “relatively minimal compared to what we would have done historically.” In the early stages of 2023, Investors rewarded Zuckerberg and his “year of efficiency.” The company is doing quite well with the fourth-quarter earnings sailing past the estimates and the company has issued a forecast of the current period which also seems to have been topping the expectations.
Based on the statement made on Thursday;s earnings call, Meta is planning to keep things “lean” in terms of hiring. The headcount of Meta which was over 86,000 in 2022 shrank by 22% in 2023 to 67,317 in a reflection of the mass cost cuts that Meta implemented to appease the investor base that has lost faith in the company’s ability to respond to the changing market conditions. This was based on the fact that at that time Meta was facing a tough digital ad market and additionally also was shrouded by the effects of the 2021 iOS Apple update.
Almost a year ago, Zuckerberg told analysts that 2023 would be “the year of efficiency” and he has followed through. He stated Meta would become a “stronger and more nimble organization.” Wall streed rewarded him and the stock almost tripled in value last year. This made Meta the second-best performer in the S&P 500 behind Nvidia. Meta’s market cap reached a record last month and has continued to be pushing well past $1 trillion.
On Thursday Meta also reported that their fourth-quarter sales had grown by 25% which was the fastest rate of expansion since the report of mid-2021. The growth has created a staggering $40.1 billion. The net income crossed a whopping 201% to $14 billion. The company’s operating margin also more than doubled to 41%.
