Primary source: Meta Q3 2026 earnings release

Meta Platforms reported third-quarter revenue of $64.6 billion on Wednesday, up 26% from a year earlier, while a $9.89 billion legal charge lowered its operating income to $12.99 billion from $20.54 billion¹.

The charge stems from an agreement Meta announced in August with 52 state attorneys general to settle litigation over teen mental health and social media, which provides for payments of up to about $18.59 billion, the company said¹.

Without the charge, Meta said, operating income would have been $22.88 billion and diluted earnings $7.40 a share, instead of the $3.83 a share it reported¹. Net income was $9.86 billion, up 264% from a year-earlier quarter that carried an unusually high tax bill¹.

Analysts polled by LSEG had expected $63.4 billion in revenue and earnings of $5.46 a share, Variety reported, so the company beat on sales and fell short on per-share profit².

Chief Executive Mark Zuckerberg pointed to the company's AI products in a statement, saying, “Our investments are paying off, the core business is strong, and we're seeing velocity across the board”¹.

The results came hours after a New Mexico state judge ordered Meta to pay $25 billion following a jury verdict last month that found the company deceived users about Facebook's privacy and content moderation policies, Variety reported². Meta's release did not address that ruling¹.

Meta said it expects fourth-quarter revenue of $73 billion to $76 billion and raised its full-year expense forecast to $175 billion to $179 billion to include the charge¹. Capital expenditures were $34.91 billion in the quarter, and headcount fell 15% from a year earlier to 66,775¹.

Sources

1. Meta Investor RelationsMeta Reports Third Quarter 2026 ResultsOct 21, 4:01 PM
2. VarietyMeta’s Almost $10 Billion Legal Costs Take Huge Toll on Q3 Earnings, Wall Street ShrugsOct 21, 4:13 PM

Read the original at Meta Investor Relations ↗