Meta Platforms Inc (META) shares fell after reporting first-quarter earnings results. The company beat analyst estimates on the top and bottom lines, reporting first-quarter revenue of $36.455 billion versus estimates of $36.156 billion and EPS of $4.71 versus estimates of $4.33.
Despite topping estimates, the stock is tanking in after-hours trading, likely due to the company's guidance. Meta said it expects second-quarter revenue to be in the range of $36.5 billion to $39 billion versus estimates of $38.3 billion.
The company raised its expense outlook for the year from a range of $94 billion to $99 billion to a new range of $96 billion to $99 billion. Meta also raised its capital expenditures forecast from a range of $30 billion to $37 billion to a new range of $35 billion to $40 billion as the company continues to accelerate its infrastructure investments to support its AI roadmap.
"While we are not providing guidance for years beyond 2024, we expect capital expenditures will continue to increase next year as we invest aggressively to support our ambitious AI research and product development efforts," the company said.
Meta also noted that it expects operating losses to "increase meaningfully" year-over-year for its Reality Labs division. Meta shares were down more than 12% at the last check.
Alphabet shares often move in sympathy with Meta as both companies generate significant revenue from advertising. Alphabet is scheduled to report its first-quarter financial results after the market close on Thursday. The company is expected to report EPS of $1.51 on revenue of $78.594 billion.
Snap, Pinterest and Meta all operate social media platforms. Snap and Pinterest are due to report earnings within the next week.
Snap will report its first-quarter results on Thursday. Analysts are forecasting a loss of 5 cents per share and revenue of $1.119 billion. Pinterest is set to report on April 30. The company is expected to report EPS of 13 cents on revenue of $699.872 million.
At the time of writing, Alphabet shares were down after hours approximately 2.5%, Snap shares were down 4.8% and Pinterest shares were down about 4.65%.