Meta earnings recap: Meta 3rd-quarter earnings beat estimates, stock slips

• Meta reported third-quarter earnings after the closing bell on Wednesday.
• Its quarterly revenue of $40.59 billion exceeded analysts’ estimates. User growth slightly missed expectations.
• Meta’s stock slid as much as 3% in after-hours trading shortly after the results.

Meta earnings beat Wall Street’s expectations for the third quarter.

The company’s revenue for the quarter was $40.59 billion, ahead of the expected $40.25 billion. Earnings per share were in at $6.06, above the expected $5.25.

However, the company missed expectations for user growth. It said daily active users grew 5% year over year to 3.29 billion. That was lower than expectations of 3.31 billion daily users.

“We had a good quarter driven by AI progress across our apps and business,” Meta CEO Mark Zuckerberg said. “We also have strong momentum with Meta AI, Llama adoption, and AI-powered glasses.”

Shares dipped as much as 3% in after-hours trading shortly after the company posted the results, before paring the loss to about 1.5%, trading around $581.89.

The company is planning to continue investing heavily in AI.

“We continue to expect significant capital expenditures growth in 2025,” Meta said. The company said it expects “a significant acceleration in infrastructure expense growth next year as we recognize higher growth in depreciation and operating expenses of our expanded infrastructure fleet.”