Meta Platforms Inc (NASDAQ:FB) has seen its advertising revenue continue to show signs of recovery, although the same cannot be said for Snap Inc (NYSE:SNAP).
Formerly going by the Facebook name, it was the social media platform’s advertisement business that helped Mark Zuckerberg’s company solidly grow revenue once again.
Meta chief financial officer Susan Li told analysts on an earnings call, cited by CNBC, that revenue rose thanks to an increase in spending by online retailers and Chinese companies.
Li added that advertisers are also adopting the platform's Advantage+ service, which helps improves the effectiveness of its ad system following the iOS privacy change.
Shares in Meta jumped 7% after the earnings release on Wednesday and are up 140% in the year-to-date.
However, Snap, the owner of Snapchat, didn’t see the same bounce back in ad revenue as its social media competitor when it updated the market earlier this week.
Snap’s revenue fell by 4% in the second quarter, sending shares 14% lower on Tuesday, although the stock is up 20% in 2023.
Both firms, alongside other social media giants, were hammered by Apple’s iOS privacy change in 2021, which coincided with a general economic downturn that saw ad business shrink and investors flee.