Meta Platforms, Inc. engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality headsets, and wearables worldwide.
Meta Platforms reported third quarter results after the US close on Wednesday 21 October.
Revenue rose 26% to $64.60 billion, ahead of the $63.3 billion Bloomberg consensus. Diluted earnings per share came in at $3.83 against a $3.56 consensus. That figure absorbs a $9.89 billion legal charge; Meta put EPS at about $7.40 excluding it. Net income reached $9.86 billion, up 264% on a prior-year quarter that carried a one-off tax charge.
| Metric | Actual | Comparison |
| Revenue | $64.60bn | $63.3bn consensus; +26% y/y |
| Diluted EPS | $3.83 | $3.56 consensus |
| EPS excluding legal charge | About $7.40 | Company figure |
| Operating margin | 20% | 40% pcp |
| Q4 revenue guidance | $73bn to $76bn | About $73.6bn consensus |
| 2026 capex guidance | $135bn to $145bn | $130bn to $145bn previously |
Ad impressions grew 10% and the average price per ad rose 14%. Daily active people across the apps reached 3.64 billion, up 3%. Family of Apps revenue reached $64.16 billion with operating income of $17.12 billion, down from $24.97 billion. Reality Labs lost $4.13 billion on $443 million of revenue. Total costs and expenses rose 68% to $51.61 billion including the legal charge, and operating margin halved to 20% from 40%. Headcount fell 15% to 66,775.
Capital expenditure of $34.91 billion took free cash flow to negative $2.12 billion, from positive $10.63 billion a year earlier. Meta bought back no stock in the quarter, against $3.33 billion a year ago, and paid $1.36 billion in dividends. Cash and marketable securities stood at $82.45 billion.
Fourth quarter revenue guidance of $73 billion to $76 billion compares with a consensus of about $73.6 billion. Meta narrowed 2026 capex guidance to $135 billion to $145 billion from $130 billion to $145 billion, and set 2026 total expense guidance at $175 billion to $179 billion, including the legal charge. It expects Reality Labs to lose $18 billion to $19 billion in 2026 and about $15 billion in 2027. Chief financial officer Susan Li said Meta expects “to continue investing aggressively to support both our core business and emerging AI initiatives”.
Meta also announced a new non-voting Class C share, to be distributed as a stock dividend of one Class C share for each Class A and Class B share. Meta expects Class A shares to trade as if split two-for-one. The charter amendment is expected to take effect on 19 January 2027, and the board has yet to set record and payment dates. Mark Zuckerberg said, “Our investments are paying off, the core business is strong, and we’re seeing velocity across the board.”
Shares rose 0.5% on Wednesday to close near $697.50. Indicative after-hours quotes had them 3% to 4% higher, between $719 and $726.
