Meta Platforms Inc. experienced a significant surge in its shares after reporting stronger-than-expected advertising sales in the first quarter of 2025. The company, which owns Facebook and Instagram, revealed that its revenue for the quarter ending March 31 reached $42.3 billion, surpassing analysts’ estimates of $41.4 billion. This robust performance helped alleviate concerns about the potential impact of the Trump administration’s trade war on the company’s financials.
Meta’s ability to exceed revenue expectations was particularly noteworthy given the uncertain economic environment. The company’s advertising sales have proven resilient, demonstrating the strength of its business model. Moreover, Meta provided guidance that its current-quarter revenue is expected to be in line with analysts’ expectations, further bolstering investor confidence.
In response to the ongoing trade war, Meta is taking proactive measures to mitigate potential risks. The company is reevaluating its supply chain and anticipates higher costs for infrastructure due to the tariffs imposed by the Trump administration. This strategic approach aims to navigate the challenges posed by the trade war and maintain the company’s growth trajectory.
The positive earnings report and guidance helped Meta’s shares jump, reflecting investor optimism about the company’s ability to weather the economic uncertainties. As the trade war continues to unfold, Meta’s resilience in advertising sales and its adaptive strategies will be crucial in maintaining its financial performance.
