Meta's Q3 2025 Results: Revenue Growth and Challenges

Meta's Finland Report

Meta has announced its complex financial results for the third quarter of 2025. The company achieved record revenue during the quarter, but due to a large tax bill, there was a decline in earnings per share (EPS). These results came after Meta ended multiple hiring processes focused on artificial intelligence capabilities.

Meta generated 51.24 billion dollars in revenue during the third quarter, surpassing Wall Street's expectations and the company’s own projections. However, the earnings per share (EPS) stood at 1.05 dollars; this figure is quite low compared to Wall Street’s expectation of 6.70 dollars. This decline was attributed to a one-time income tax liability of 15.93 billion dollars. The company reported that if this tax had not been levied, EPS could have been 7.25 dollars.

This report and the planned investor call provide an opportunity for investors to assess whether Meta's generous spending on its artificial intelligence infrastructure is justified. The company forecasts total expenditures for 2025 to be between 116 billion dollars and 118 billion dollars, indicating an increase from the previously predicted lower bound of 114 billion dollars. Additionally, the company anticipated its capital expenditures for 2025 to be between 70 billion dollars and 72 billion dollars, which is an upward revision from the earlier range of 66 to 72 billion dollars. Meta indicated that its revenue for the fourth quarter is likely to be between 56 and 59 billion dollars.

Meta's founder and CEO Mark Zuckerberg stated, "We had a strong quarter for our business and community. Meta Super Intelligence Labs made a great start, and we continue to lead the industry in AI glasses. If we can realize just a fraction of the opportunities ahead, the next few years will be the most exciting period in our history."

Investors will also gain more information about Meta's recent investments in developing its data center network. The company announced a partnership with Blue Owl Capital to build a 27 billion dollar Hyperion data center campus; this will be Meta's largest facility developed. The company's shares have shown a consistent rise over the past six months. The previous two earnings reports also managed to exceed Wall Street expectations.

Meta launched Ray-Ban Glasses last month; sales figures for these glasses, which have embedded screens in the lenses, are eagerly awaited. Meta's original camera glasses, known as Meta Ray-Ban, had become a popular gadget. Both types of glasses bring privacy concerns. Although Meta has designed the glasses to not function when the recording indicator is turned off, there is a 60 dollar modification available that reportedly disables this light, according to 404 Media.

Forrester research director Mike Proulx predicted, "I expect these glasses to be particularly popular among early technology enthusiasts, and I believe the planned demo events will outpace sales." On the advertising front, Meta lost accreditation from the Media Rating Council, which sets safe content standards for brands; this occurred after the company’s decision to withdraw from annual audits. Accreditation provided advertisers assurance that the content where their ads would appear would not harm their brands, and Meta had obtained this accreditation only four months ago.

Analysts are optimistic that this loss of accreditation will not negatively impact Meta's attractiveness to advertisers. Proulx added, "This situation may raise some concerns among advertisers, but Meta's broad audience reach and brand loyalty will not prevent them from investing." "As long as Meta's media investments perform well, brands will overlook potential brand safety risks."