Meta Platforms 8-K
PositiveEarningsGuidance raisedLegal / investigation
Higher component prices and data center costs lift FY2026 capex plans; rising ad impressions and prices drive revenue growth.
Filed 2026-04-29 16:05 ET
- 2.02 Results of Operations
- 9.01 Financial Statements and Exhibits
Summary
Q1 2026 results with Q2 and FY2026 guidance. Revenue rose 33% Y/Y, led by higher ad impressions and average ad prices; net income also benefited from an $8.03B tax benefit. Meta raised its FY2026 capital expenditure outlook, citing higher component pricing and additional data center costs.
Key Figures
| Metric | Q1 2026 | Q1 2025 | Y/Y |
|---|---|---|---|
| Revenue | $56.3B | $42.3B | 33% |
| Operating income | $22.9B | $17.6B | 30% |
| Operating margin | 41% | 41% | 0 bp |
| Net income | $26.8B | $16.6B | 61% |
| Diluted EPS | $10.44 | $6.43 | 62% |
| Operating cash flow | $32.2B | $24.0B | 34% |
| Free cash flow, non-GAAP | $12.4B | $10.3B | 20% |
| Family daily active people, average for March | 3.56B | — | 4% |
| Ad impressions | — | — | 19% |
| Average price per ad | — | — | 12% |
- Costs and expenses rose 35% to $33.4B. Revenue growth was 29% excluding foreign exchange, versus 33% on a GAAP basis.
- The $8.03B tax benefit contributed to reported net income; without it, Meta says Q1’s effective tax rate would have been 37 percentage points higher and diluted EPS $3.13 lower.
- Capital expenditures, including principal payments on finance leases, were $19.84B. Cash, cash equivalents and marketable securities were $81.18B; long-term debt was $58.7B. Dividend and dividend equivalent payments were $1.35B.
Guidance
| Metric | Period | Guidance | Prior | Direction |
|---|---|---|---|---|
| Total revenue | Q2 2026 | $58B-$61B | — | — |
| Total expenses | FY2026 | $162B-$169B | $162B-$169B | Reaffirmed |
| Operating income | FY2026 | Above FY2025 operating income | — | Reaffirmed |
| Capital expenditures, including principal payments on finance leases | FY2026 | $125B-$145B | $115B-$135B | Raised |
| Tax rate | Q2-Q4 2026 | 13%-16% | — | — |
The Q2 revenue outlook assumes foreign currency is an ≈2% tailwind to Y/Y growth. The higher capital expenditure outlook reflects higher component pricing and, to a lesser extent, additional data center costs to support future capacity.
Investor Takeaways
- Q2 revenue versus the $58B-$61B range will show whether current advertising momentum continues.
- FY2026 capital expenditures and operating income relative to 2025 are key measures of investment levels and operating performance.
- Meta has additional U.S. trials scheduled this year on youth-related issues; the company says they could ultimately result in a material loss.
The summary is written by an AI model reading the filing.
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