Tens of thousands of UK investors, whether they realise it or not, are exposed to Meta Platforms Inc (NASDAQ:META, ETR:FB2A, SWX:FB).
Some own the shares outright in a SIPP or ISA. Many more will hold the stock indirectly through tech-focused investment trusts, index trackers, or their workplace pension.
And as Meta prepares to report its first-quarter results after the US market closes tonight (Wednesday), its numbers carry real weight this side of the Atlantic too.
Turbulent 101 days of Trump
The backdrop has been anything but calm. In the first 100 days of Donald Trump’s presidency, US tech giants, the so-called Magnificent Seven, have found themselves navigating a storm of retaliatory tariffs, export restrictions, and threats to global supply chains.
For companies like Meta Platforms Inc (NASDAQ:META, ETR:FB2A, SWX:FB), which owns Facebook, Instagram and WhasApp, it’s not just about how much they sell, but how rising geopolitical tension affects everything from data centre builds to sourcing the AI chips that underpin future growth.
Meta's business model faces tariff and ad pressure
Meta is especially sensitive. Unlike Microsoft, Google or Amazon, it has no cloud business to cushion the blow.
Advertising remains its main source of revenue, and analysts have already noted a pullback from China-based advertisers, who make up a sizeable chunk of spend.
Tariffs on goods, combined with tighter US restrictions on Chinese tech investment, are already being felt.
What to expect from Meta’s Q1 2025 earnings
What analysts expect later is first-quarter revenue of $41.3 billion and earnings per share of $5.25, up from $36.4 billion and $4.71 a year ago.
Advertising revenue should make up most of the top line, while the Reality Labs division, which houses the group’s metaverse and virtual reality ambitions, is expected to post another $4.5 billion loss.
Key risks and guidance to watch
But the numbers alone won’t move the dial. Investors will be watching commentary around the cost of AI infrastructure, progress in monetising platforms like Reels and WhatsApp, and any signs that the company may rein in spending or guidance due to the increasingly fraught global trade environment.
Final word for UK savers and shareholders
In short, tonight’s update will speak volumes about where one of the world’s biggest tech names goes next - and for many UK savers and investors, that matters a great deal.