$META Q3 results are in Rev came in at $64.6B, up 26% YoY. Street was expecting ~$63.3B, so that's a clean beat. Ads did all the work again $63.1B in ad rev, prices up 14%, impressions up 10%. EPS shows $3.83, which looks bad at first glance. But w/o the one-time legal charge it was $7.40, way above the ~$6.54 expected. The charge is a $9.9B settlement w/ 52 state AGs over teen safety cases. It dragged operating income down to $13B and margin to 20% (was 40% last yr). Big number, but it's a legal bill, not the business slowing down. Q4 guidance: $73–76B rev, basically in line. FY capex floor bumped up to $135–145B — AI spending isn't slowing down. Stock is up ~6% AH. Market basically shrugged off the settlement bc the core biz beat and guidance held.
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2 Comments
Nate
@hoodnate · 44m
the 7.40 vs 3.83 eps split really shows how one charge can hide a great quarter
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