Meta Platforms Inc (NASDAQ:META, ETR:FB2A, SWX:FB) reported quarterly results that blew past Wall Street expectations on Wednesday, sending its shares up nearly 10% in after-hours trading.
Strong advertising sales and continued momentum across its apps boosted growth, the tech stalwart’s results indicated.
Second-quarter revenue rose 22% year-over-year to $47.52 billion, topping analysts’ estimates of $44.83 billion. Earnings per share jumped 38% to $7.14, well above the expected $5.89, driven by robust operating income of $20.44 billion.
“We’ve had a strong quarter both in terms of our business and community,” CEO Mark Zuckerberg said in a statement, adding the company remains “excited to build personal superintelligence for everyone in the world.”
Meta’s advertising business continued to perform strongly, with ad revenue reaching $46.56 billion, up from $44.07 billion expected. Its Family of Apps segment, which includes Facebook, Instagram and WhatsApp, delivered $47.15 billion in revenue and $24.97 billion in operating income, also ahead of estimates.
The Reality Labs division, which houses Meta’s metaverse ambitions, brought in $370 million in revenue, slightly below expectations, and posted a narrower-than-expected operating loss of $4.53 billion.
The company guided third-quarter revenue in the range of $47.5 billion to $50.5 billion, beating analysts’ estimate of $46.2 billion. Full-year capital expenditures were raised slightly to $66–$72 billion, while expense guidance was tightened to $114–$118 billion.
Daily active people across Meta’s platforms reached 3.48 billion, up 6% from a year ago. Ad impressions rose 11%, with the average price per ad climbing 9%.
Meta also flagged potential regulatory risks, particularly in Europe, warning they could “materially impact” revenue in 2025.
Looking ahead, it expects expense growth to accelerate in 2026 due to increased infrastructure and compensation spending, along with rising capex to support artificial intelligence development.