Meta sees ‘accelerated’ employee compensation growth, CFO says

Group 1 - Meta has experienced a significant increase in total revenues, reporting $51.2 billion for the fiscal third quarter, a 26% increase year-over-year [4] - The company's net income fell by approximately 83% year-over-year to $2.71 billion, primarily due to a one-time corporate tax charge of $15.93 billion related to the One Big Beautiful Bill Act [4][5] - Excluding the one-time tax charge, Meta's net income would have been $18.6 billion [5] Group 2 - Capital expenditures reached $19.4 billion, driven by investments in servers, data centers, and network infrastructure [6] - Total expenses increased by 32% year-over-year to $30.7 billion, with expectations for even faster growth in 2026 primarily due to infrastructure costs [6] - Employee compensation costs have accelerated, particularly due to hiring in artificial intelligence, with the company ending Q3 with over 78,400 employees, an 8% increase year-over-year [7] Group 3 - Meta's CFO indicated that employee compensation is expected to become the second largest expense for the company next year [7]