Meta faces significant financial risks from ongoing legal proceedings (privacy, antitrust, securities, youth-related), including potential substantial fines and damages. Evolving regulations (GDPR, DMA, DSA) limit data usage, impacting ad targeting and revenue. Market fluctuations, macroeconomic conditions, and competition from other platforms also pose risks. Investments in Reality Labs and AI, while long-term strategic, may not generate sufficient returns, further impacting profitability. Uncertain tax liabilities and potential impairment of goodwill and intangible assets add to the financial risks.

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Meta's revenue increased 19% in Q3 2024, driven by advertising revenue growth. Ad impressions and average price per ad also increased. Other revenue sources, particularly WhatsApp Business Platform, are growing. Reality Labs revenue is also increasing, driven by consumer hardware sales. Cash, cash equivalents, and marketable securities are strong, providing liquidity for future investments and capital returns. A share repurchase program and dividend payments are also in place.

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