TechFlow news: Meta's metaverse division, Reality Labs, reported a loss of approximately $4.65 billion in the fourth quarter of 2023, despite achieving a record-high quarterly revenue of $1.1 billion.
Reality Labs generated total revenue of about $1.9 billion in 2023, with an annual loss reaching $16.1 billion, a 17.5% increase year-over-year.
Meta founder and CEO Mark Zuckerberg said the Quest VR headset series performed strongly during the holiday season, with the new Quest 3 making a "strong start." He stated that the company will continue to make significant investments in artificial intelligence and the metaverse.
Meta CFO Susan Li said losses at Reality Labs are expected to "increase substantially year-over-year" due to investments in AR and VR product development and "expanding the ecosystem."
Meta's full-year 2023 revenue reached $134.9 billion, exceeding Zacks' estimates and marking a 16% year-over-year growth. The company announced it will pay a dividend of $0.50 per share on March 26—the first in its history—and plans to distribute regular quarterly dividends. Following the announcement, Meta's stock rose more than 15% after market close on February 1, reaching nearly $455.
