Meta Reports Big Revenue Jump and Projected Spending Increase
Meta reported a strong quarter with revenue up 33% year‑over‑year to $56.3 billion and net income of $26.8 billion, both beating analysts’ expectations. Despite the beat, the company warned it will raise capital spending to build AI data centers amid rising component costs, and guided quarterly sales to $58–$61 billion. Investors reacted negatively: Meta’s shares slid more than 5% in after‑hours trading, reflecting concern that higher capex will weigh on near‑term returns even as top‑line growth accelerates. The report highlights the tension between robust AI‑driven demand and rising infrastructure spending.