Meta Q3 profit falls on $18B settlement, AI spend rises
Briefing by News4U · First published
Meta posted $9.86B Q3 profit, down nearly 50% on an $18B US settlement and a $25B New Mexico penalty, while revenue beat forecasts and AI investment continued.
Meta reported $9.86 billion in third-quarter profit, almost 50 percent below expectations, after booking a $9.9 billion charge tied to an $18 billion settlement with nearly all US states and a separate $25 billion New Mexico penalty linked to the Cambridge Analytica case. [1] [2]
Revenue exceeded forecasts as the company spent $35 billion on capital expenditures, below the $41 billion expected, and raised its full-year capex target to $145 billion to fund AI infrastructure. [1] [2]
CEO Mark Zuckerberg said Reality Labs losses are trending toward profitability, and the firm plans to issue non-voting Class C shares partly to help him manage potential California tax liabilities without diluting voting control. [1] [2]
Sources
- Meta beats expectations but legal penalties hit profit
RTHK Finance · · Excerpt
- Meta beats expectations but legal penalties hit profits
RTÉ Business · · Full text