In a quarter marked by extensive layoffs, Meta has announced a profit drop of 55 per cent.

Figures for the three months to 31 December 2022 are reflective of a quarter in which Meta announced that 11,000 people would be let go from the company -- representing 13 per cent of its workforce across Facebook, Instagram, and WhatsApp.

Meta chief executive Mark Zuckerberg said that during the pandemic, the surge in e-commerce and resulting revenue growth had led the business to increase investment, as he thought it would continue after the pandemic ended.

At the time, Zuckerberg said that the social media giant would make further cost cutting measures as the pandemic investments did not ‘play out as he expected’.

Full year profits declined by 41 per cent – from $39 billion to $23 billion.

Revenue remained steady across the full year and in the fourth quarter, with only a one per cent dip reported.

Addressing headcount, the report said it stood at 86,482 as of 31 December - an increase of 20 per cent year-over-year. Meta added that its reported headcount includes a substantial majority of the approximately 11,000 employees impacted by the layoff it announced in November 2022, which would ‘no longer be reflected’ in its headcount by the end of the first quarter of 2023.

Commenting on the results, Zuckerberg said: "Our community continues to grow and I'm pleased with the strong engagement across our apps.”

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