Facebook's parent company pays dividends for the first time.

Meta Platforms announced on February 1st its first-ever cash dividend payment of $0.50 per share, starting this quarter.

Meta Platforms, Facebook's parent company, announced on February 1st that its fourth-quarter 2023 profits increased by more than 200% compared to the same period last year, reaching $14 billion. This figure exceeded analysts' forecasts. Revenue also increased by 25%, to over $40 billion.

Meta also announced yesterday its first-ever cash dividend payment of $0.50 per share. The payment will be made at the end of March.

"We plan to pay quarterly cash dividends, starting this quarter," Meta's announcement stated. This news caused Meta's stock price to surge more than 14% in after-hours trading on February 1st.

Meta CEO Mark Zuckerberg at the company's headquarters in California, USA, in September 2023. Photo: Reuters — Meta CEO Mark Zuckerberg at the company's headquarters in California, USA, in September 2023. Photo: *Reuters*

Meta also announced it will buy back $500 billion worth of shares. Paying dividends and buying back shares helps to boost the stock price. However, these policies are often criticized for inflating the price and not for spending on employees or improving business operations.

For the full year 2023, Meta's profits increased by nearly 70% to $39 billion. The company's stock also rose by more than 100% compared to the same period last year.

Meta has set 2023 as a "year of efficiency." The company has made significant staff cuts and reduced many other expenses to revive revenue and stock price.

"Our community is growing. Businesses are getting back on track. I want to thank all the employees, partners, shareholders, and the community who have been with Meta and made 2023 a success," said Meta CEO Mark Zuckerberg.

Meta reported a 6% increase in daily active users compared to the same period last year, reaching over $2.1 billion. Threads, a competitor of X, also reached 130 million monthly active users. This figure demonstrates strong growth, despite the platform being smaller than its rivals.

Another highlight of yesterday's report was that Meta's average advertising price increased 2% year-over-year. Advertising remains the company's primary revenue source, generating $38.7 billion last quarter, up nearly 24%.

For the current quarter, Meta forecasts revenue of $34.5-$37 billion, a 20% increase compared to the same period last year.

Ha Thu (according to Reuters, CNN)

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