Overview
- Meta reported Q3 revenue of $51.24 billion, but net income fell 83% to $2.7 billion due to a one‑time, non‑cash federal tax adjustment of $15.9 billion.
- Shares fell nearly 9% in after‑hours trading following the earnings release and investor call.
- Management lifted this year's infrastructure outlook to $70–72 billion and signaled spending growth in 2026 will be significantly larger.
- Reality Labs posted $470 million in revenue and a $4.43 billion operating loss, with CFO Susan Li citing headset headwinds offset by demand for AI‑enabled glasses.
- AI‑driven recommendations boosted engagement, with time spent up 5% on Facebook and 10% on Threads, and Instagram Reels usage up more than 30% year over year.