Revenues for Meta, the owner of Facebook and Instagram, have fallen for the first time since the company’s founding. It’s only a 1 percent drop in revenue, but it’s not good news for the tech giant, which always wants to keep growing and has tough competition from TikTok.

Meta’s total revenue is largely due to advertising revenue, but the digital advertising market is in trouble due to high inflation. In the last quarter, Meta received $28.82 billion. In the same period last year, that was still $29.08 billion.

Revenue forecasts for the next quarter are also lower than analysts had expected. Meta forecasts sales of between $26 billion and $28.5 billion, analysts estimate at $30.52 billion.

The company’s net profit fell much faster than sales by 36 percent. Profits were $6.69 billion, compared to $10.39 billion last year.

In Europe, the number of active monthly Facebook users is also decreasing. There are now 407 million. The number of active daily Facebook users is declining at a slower rate.