CLOSE
Loading...
12° Nicosia,
14 June, 2024
 
Home  /  News

Meta CEO to receive $700M dividend

From senate grilling to dividend deal and legal battles

Newsroom

Mark Zuckerberg, the CEO of Meta, the parent company overseeing Facebook, Instagram, and WhatsApp, anticipates an annual dividend of $700 million (£549 million), according to recent announcements.

As The Guardian reports, Meta unveiled its intention to distribute its inaugural quarterly dividend to shareholders, marking a significant milestone since Facebook's public offering in 2012. This decision follows a remarkable performance in the last quarter of the previous year, with revenues totaling $40 billion, surpassing Wall Street forecasts.

Despite a reduction in staff by 22%, trimming the total headcount to approximately 19,000 employees, Meta witnessed a threefold increase in quarterly profits, reaching $14 billion, driven by a resurgence in advertising sales. Additionally, the company initiated a $50 billion share repurchase program.

Zuckerberg revealed that Meta, celebrating its 20th anniversary this month, would issue its first dividend as a public entity, amounting to 50 cents per share. The declared $1.25 billion payout to investors signifies the inception of regular dividends.

With Zuckerberg owning around 350 million shares, the consistent dividend payouts could yield approximately $700 million for him in the inaugural year under this policy. In 2022, the 39-year-old received a total compensation of $27 million, the latest available figures for full remuneration.

However, Meta faced scrutiny during a recent US Senate judiciary committee hearing, convened to examine the impact of tech platforms on young users, where Zuckerberg and other tech executives appeared. The CEO extended condolences to parents who lost children due to online exploitation.

Throughout the hearing, legislators proposed potential legislation that could revoke Meta's and other platforms' legal immunity for content posted on their platforms. This development follows a massive lawsuit filed by the attorneys general of 41 states, addressing Meta's impact on young users.

Furthermore, New Mexico's attorney general has sued Meta for purportedly failing to prevent child sexual exploitation and trafficking.

Meta has been reached out to for comment regarding these recent developments.

[With information sourced from The Guardian]

TAGS
Cyprus  |  Meta  |  socialmedia  |  US  |  congress  |  money

News: Latest Articles

X