Meta Platforms reported a strong first quarter with significant revenue and net income growth, driven by robust advertising performance and a notable tax benefit. The company is investing heavily in capital expenditures to support future capacity, particularly for AI initiatives, while maintaining a positive outlook for operating income.
Revenue increased by 33% year-over-year to $56.31 billion, exceeding prior quarter growth rates.
positiveNet income surged by 61% year-over-year to $26.77 billion, boosted by a significant tax benefit.
positiveDiluted EPS grew by 62% year-over-year to $10.44, reflecting strong profitability.
positiveFamily daily active people (DAP) increased by 4% year-over-year to 3.56 billion.
positiveAd impressions increased by 19% year-over-year, and average price per ad increased by 12% year-over-year.
positiveOperating margin remained strong at 41%, consistent with the prior year.
neutralTotal costs and expenses increased by 35% year-over-year, outpacing revenue growth of 33%.
attentionCapital expenditures increased significantly to $19.84 billion, with the full-year outlook raised to $125-145 billion, reflecting substantial investments in AI and data center capacity.
attentionA slight decline in DAP quarter-over-quarter was attributed to internet disruptions and restrictions in Iran and Russia.
attentionThe company continues to monitor active legal and regulatory matters, including potential material losses from ongoing trials in the U.S.
attentionCash, cash equivalents, and marketable securities decreased by $7.998 billion quarter-over-quarter, primarily due to investing activities.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total | CC |
|---|---|---|---|---|---|
Family of Apps | N/A | — | — | — | +29.0% |
Reality Labs | N/A | — | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% | — |
Segment performance shows business unit health and growth drivers. Constant currency (CC) removes FX impact for like-for-like comparison.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
| Metric | Value | Period | Specificity | vs Prior |
|---|---|---|---|---|
| revenue | $58-61 billion | Q2 2026 | tight_range | New |
| total_expenses | $162-169 billion | FY2026 | tight_range | Maintained |
| capital_expenditures | $125-145 billion | FY2026 | tight_range | Raised |
| tax_rate | 13-16% | remaining quarters of 2026 | tight_range | New |
this year
2026
$81.2 billion · quarter end
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
We had a milestone quarter with strong momentum across our apps and the release of our first model from Meta Superintelligence Labs.
We're on track to deliver personal superintelligence to billions of people.
We expect second quarter 2026 total revenue to be in the range of $58-61 billion.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.