Meta Platforms reported its third‑quarter 2025 results, posting revenue of $51.24 billion, a 26 % year‑over‑year increase, and GAAP earnings per share of $1.05. Adjusted earnings per share were $7.25, reflecting a one‑time, non‑cash tax charge of $15.93 billion that lowered the effective tax rate to 87 %. The core advertising business drove growth, with ad revenue reaching $50.08 billion, up 14 % YoY, and the average price per ad rising 10 %. The Family of Apps segment generated $47.15 billion in revenue, and daily active users across Meta’s platforms totaled 3.54 billion, an 8 % increase from the prior year.
Meta’s guidance for the fourth quarter projects revenue between $56 billion and $59 billion, with diluted earnings per share expected to be $6.70. Capital expenditures for the year are now forecast at $70 billion to $72 billion, reflecting continued investment in data‑center infrastructure and AI capabilities. The company also reiterated its commitment to expanding its AI‑powered product suite, including smart glasses and other immersive experiences.
CEO Mark Zuckerberg highlighted Meta’s AI strategy, noting a $14.3 billion investment in Scale AI to secure high‑quality training data and the launch of Meta Superintelligence Labs, a new unit focused on developing advanced AI models. Zuckerberg emphasized that early results from the lab are promising, with prototype models showing improved natural‑language understanding and image generation. The company also disclosed that Reality Labs, its virtual‑reality and augmented‑reality division, posted a loss of $1.2 billion in Q3, a decline from the $1.5 billion loss reported in the prior quarter, indicating a gradual improvement in its financial performance.
The one‑time tax charge was triggered by the One Big Beautiful Bill Act, a federal tax reform law enacted in July 2025 that required Meta to recognize a valuation allowance against its U.S. federal deferred tax assets. The act is expected to lower Meta’s future U.S. federal tax payments, and the company estimates that the charge will be offset by reduced cash tax obligations in the coming years. Meta also warned of potential regulatory risks in the EU and U.S., including possible restrictions on its advertising products and ongoing youth‑related lawsuits, which could impact future operations.
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