โ
๐ ๐๐๐ฌ๐ฎ๐ฅ๐ญ๐ฌ
โข EPS: $3.83 (Est. $6.80) โ, +265% YoY.
โข EPS Excluding Legal Charge: $7.40 (Est. $6.80) โ .
โข Revenue: $64.60B (Est. $63.41B) โ , +26% YoY.
โข Operating Income: $12.99B, -37% YoY.
โข Operating Margin: 20% (vs. 40% YoY).
โข Net Income: $9.86B, +264% YoY.
โข Operating Cash Flow: $32.79B.
โข Free Cash Flow: -$2.12B.
โข CapEx: $34.91B.
โข Cash & Marketable Securities: $82.45B.
โ
๐ฏ ๐๐ฎ๐ข๐๐๐ง๐๐
โข Q4 2026 Revenue: $73Bโ$76B, midpoint $74.5B (Est. $73.75B) โ .
โข FY2026 CapEx: $135Bโ$145B (previously $130Bโ$145B).
โข FY2026 Total Expenses: $175Bโ$179B, including $9.9B legal charge.
โข FY2026 Reality Labs Losses: $18Bโ$19B.
โข FY2027 Reality Labs Losses: ~$15B.
โข FY2027 Revenue: Strong overall growth expected, no quantitative guidance.
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๐ ๐๐๐ฒ ๐๐๐ค๐๐๐ฐ๐๐ฒ๐ฌ
โข Q3 revenue beat consensus by ~1.9%, while reported EPS missed by ~44% due to a $9.89B legal settlement charge.
โข Excluding the legal charge, EPS reached $7.40, ~8.8% above consensus, and operating income would have been $22.88B.
โข Ad impressions increased 10% YoY, while average price per ad rose 14%, supporting 26% revenue growth.
โข Meta recorded a $9.89B charge related to an agreement with 52 U.S. attorneys general over teen mental health litigation, with total potential payments of ~$18.59B.
โข Q3 CapEx reached $34.91B, resulting in negative free cash flow despite $32.79B in operating cash flow.
โข Meta announced a new publicly listed, non-voting Class C stock, with a one-for-one stock dividend to existing Class A and B shareholders, effectively creating a two-for-one stock split.
โข Meta launched Muse and Muse Wonder, its first frontier AI model, while continuing aggressive AI infrastructure investment.
โข Reality Labs losses are expected to decline to ~$15B in 2027 as Meta reallocates spending toward AI.
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๐ฌ ๐๐๐ง๐๐ ๐๐ฆ๐๐ง๐ญ ๐๐จ๐ฆ๐ฆ๐๐ง๐ญ๐๐ซ๐ฒ
โOur investments are paying off, the core business is strong, and we're seeing velocity across the board.โ