By Jaspreet Singh Jan 28 (Reuters) - Instagram-owner Meta on Wednesday boosted its capital spending plans for this year by 73% in the pursuit of "superintelligence," an effort to offer deeply personalized artificial intelligence to its large social media user base. Shareholders backed CEO Mark Zuckerberg's ambitious capital outlay, boosting Meta stock 10% in ​extended trading, as the company posted a 24% surge in advertising revenue - its mainstay - for the quarter ended December 31. It also forecast fir ...

Core Insights - Meta's Reality Labs unit reported a significant operating loss of $6.02 billion on $955 million in sales for the fourth quarter, exceeding analyst expectations of a $5.67 billion loss on $940.8 million in revenue [2] - Since late 2020, Reality Labs has accumulated over $75 billion in total operating losses, indicating the high costs associated with Meta's metaverse initiatives [2] - The company laid off more than 1,000 employees from Reality Labs to reallocate resources towards artificial intelligence and wearable devices, including the new Ray-Ban Meta smart glasses [3] Company Strategy - Meta's tech chief Andrew Bosworth stated that the company is not abandoning its VR efforts, although the market is growing slower than anticipated [4] - The company did not release a new Quest VR headset last fall but introduced the AI-powered Meta Ray-Ban Display glasses priced at $799, featuring a digital screen on one lens [4]

Revenue Performance - Fourth quarter 2025 revenue was $59.89 billion, a 24% increase year-over-year, while full year revenue reached $200.97 billion, up 22% from 2024 [2]. - Total revenue for 2025 reached $200.966 billion, a 22% increase from $164.501 billion in 2024 [34]. - Advertising revenue for Q4 2025 was $58.137 billion, up 24% from $46.783 billion in Q4 2024 [34]. - Family of Apps segment revenue for Q4 2025 was $58.938 billion, a 24% increase from $47.302 billion in Q4 2024 [32]. Costs and Expenses - Total costs and expenses for Q4 2025 were $35.15 billion, a 40% increase year-over-year, and for the full year, they amounted to $117.69 billion, a 24% increase [5]. - Full year 2026 total expenses are projected to be in the range of $162 billion to $169 billion [7]. Net Income - Net income for Q4 2025 was $22.77 billion, a 9% increase from $20.84 billion in Q4 2024, while full year net income was $60.46 billion, down 3% from $62.36 billion in 2024 [2]. - Net income for Q4 2025 was $22.768 billion, compared to $20.838 billion in Q4 2024, reflecting a 9.3% increase [29]. Cash Flow and Capital Expenditures - Free cash flow for 2025 was $43.585 billion, down from $52.103 billion in 2024 [34]. - Capital expenditures for 2026 are anticipated to be between $115 billion and $135 billion, driven by investments in Meta Superintelligence Labs [8]. Assets and Liabilities - Total assets increased to $366.021 billion in 2025, up from $276.054 billion in 2024, representing a 32.6% growth [27]. - Total liabilities increased to $148.778 billion in 2025, up from $93.417 billion in 2024, marking a 59.5% rise [27]. - Long-term debt stood at $58.74 billion as of December 31, 2025 [5]. User Engagement - Family daily active people (DAP) averaged 3.58 billion in December 2025, representing a 7% year-over-year increase [5]. - Ad impressions across the Family of Apps increased by 18% in Q4 2025 and 12% for the full year [5]. - The average price per ad rose by 6% in Q4 2025 and 9% for the full year [5]. Future Projections - The company expects Q1 2026 total revenue to be between $53.5 billion and $56.5 billion, with a 4% foreign currency tailwind [6].

Meta四季度营收598.9亿美元，分析师预期584.2亿美元。 预计一季度营收535亿-565亿美元，分析师预 期512.7亿美元。 市场有风险，投资需谨慎。本文不构成个人投资建议，也未考虑到个别用户特殊的投资目标、财务状况或需要。用户应考虑本文中的任何 意见、观点或结论是否符合其特定状况。据此投资，责任自负。 风险提示及免责条款 ...

MENLO PARK, Calif., Jan. 28, 2026 /PRNewswire/ -- Meta Platforms, Inc. (Nasdaq: META) today reported financial results for the quarter and full year ended December 31, 2025. "We had strong business performance in 2025," said Mark Zuckerberg, Meta founder and CEO. "I'm looking forward to advancing personal superintelligence for people around the world in 2026." Fourth Quarter and Full Year 2025 Financial Highlights | Three Months Ended | % | | Twelve Months Ended | | % | | | | | | | --- | --- | --- | --- | - ...

It's now time for Options Corner. Joining us, Rick Ducat, our lead market technician, to take a closer look at Meta and some of the activity we're seeing in advance of these earnings. Now, Rick, as we take a look at Meta, you know, just looking at them today, just slightly lower on the day, you know, but what's the setup like as we go into earnings.>> Well, there's a lot of kind of a lawsuits that seem to be coming into focus here before we have this earnings event here. What I mean by that is there's a cou ...

Meta Platforms, Inc. (NASDAQ:META) is one of the AI Stocks in Focus on Wall Street. On Janaury 26, Evercore ISI analyst Mark Mahaney reiterated an Outperform rating on the stock with an $875.00 price target. The rating affirmation comes ahead of the company’s fourth-quarter earnings report, due on January 28. The firm anticipates that Meta will post a modest earnings beat for the fourth quarter, while issuing guidance broadly in-line with expectations. However, it noted potential risk to Wall Street’s 20 ...

Core Viewpoint - The market is currently experiencing volatility, with a focus on upcoming earnings reports from major tech companies like Meta, Microsoft, and Tesla, while the Dow remains slightly positive. Investors are cautious about taking on more risk as they await these results, particularly due to concerns over spending and return on investment from these companies [1][2]. Group 1: Market Conditions - The Dow is the only index in the green, while other markets are slightly down, indicating a cautious sentiment ahead of significant earnings reports [1]. - Volatility has increased by 4.5%, suggesting a concentrated market movement rather than broad participation [1]. Group 2: Company Earnings and Expectations - Meta and Microsoft are under scrutiny as they prepare to report earnings, with Meta down 11% and Microsoft down 10% since their last earnings reports, raising concerns about their spending and return on investment [1][2]. - Microsoft is viewed as being in a better position due to its cloud business and diverse revenue streams, while Meta's future revenue generation strategies remain uncertain [2][8]. - Meta is forecasted to spend between $120 billion to $130 billion in capital expenditures this year, and investors are questioning whether this spending will be justified [2][10]. Group 3: Investment Sentiment - Investors are looking for clear indicators of return on investment from major tech companies, particularly in light of their significant capital expenditures [3][11]. - There is a belief that the upcoming earnings reports could shift attention back to big tech, which has been overshadowed by other sectors recently [4][5]. - The challenge remains in quantifying the return on investment for companies like Meta, compared to more easily measurable returns for companies like Microsoft and Nvidia [12].

Core Insights - Meta is currently facing scrutiny from investors regarding its spending versus revenue, with the stock price fluctuating around $670 after a previous drop from $750 following disappointing earnings [2][3][30] - The company has a strong revenue outlook, with ad spend increasing by 7% year-over-year and engagement on platforms like Instagram and Reels continuing to rise [4][9][27] - There is a notable concern about Meta's expenses, particularly in relation to capital expenditures (capex), which could impact investor confidence despite strong revenue performance [6][31] Revenue Performance - Meta's ad platform visits have increased by 7% year-over-year, indicating robust engagement [4] - Instagram's usage has surged by 10% year-over-year, contributing significantly to overall revenue growth [9][10] - The price per ad has risen by 10%, reflecting businesses' willingness to invest more in advertising on Meta's platforms [10][11] Technology and AI Integration - Meta is leveraging AI to enhance ad conversion rates, with AI-enabled chats resulting in a 31% higher conversion rate compared to traditional search methods [5][19] - The company is focusing on maintaining its technological edge amidst competition, with significant investments planned in AI [8][21] Expense Management - Investors are concerned about the potential for excessive spending, with estimates suggesting Meta may spend around $22 billion in the last quarter and potentially over $100 billion in the coming year [8][12] - The company has begun to cut costs in certain areas, such as reducing the workforce in Reality Labs by 10% [14] - There is a call for Meta to demonstrate spending discipline while still investing in technology to maintain its market leadership [13][31] Market Position - Meta continues to dominate the social media landscape, with over half the world's population using its products regularly [3][12] - The company is in a strong position to capitalize on its user base and high gross margins, which are reported at 80% [8][12] - Despite some concerns about Facebook's engagement, Instagram remains a key driver of growth and user retention [23][24]

Meta's simultaneous subscription testing across Instagram, Facebook, and WhatsApp isn't about innovation. It's about insurance. The world's most profitable advertising machine doesn't diversify revenue streams when the core business is thriving. Meta Platforms (NASDAQ:META) generated a 40.1% operating margin in Q3 2025, with revenue of $51.24 billion growing 26.2% year-over-year. Trailing twelve-month earnings per share reached $22.61. The subscription push reveals three pressure points. First, AI-driven ad ...