Revenue Growth Driven by Advertising
META's revenue increased by 21.6% year-over-year, primarily due to higher advertising demand and improved ad targeting capabilities.
Source: Source: 10-Q, Revenue Section
AI Takeaway
META reported strong financial performance in Q2 FY2025 with significant growth in revenue and net income, driven by increased operational efficiency and strategic investments.
Revenue
$47.52B
++21.61% YoY
EPS (Basic)
$7.28
++37.10% YoY
Operating Income
$20.44B
++37.68% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-Q filing
META's revenue increased by 21.6% year-over-year, primarily due to higher advertising demand and improved ad targeting capabilities.
Source: Source: 10-Q, Revenue Section
R&D expenses rose by 22.8%, reflecting META's commitment to innovation and development of new technologies.
Source: Source: 10-Q, R&D Expense Section
Despite a 16.2% increase in the cost of revenue, META maintained a strong operating margin of 43%, highlighting effective cost management strategies.
Source: Source: 10-Q, Cost of Revenue Section
META's primary revenue source is advertising, making it vulnerable to fluctuations in advertising budgets and market conditions.
Source: Source: 10-Q, Revenue Section
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Upgrade to unlockReported EPS of $7.14 versus the $6.04 analyst consensus — a +18.3% beat for Q2 FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $47.52B | $39.07B | +21.61% |
Cost of Revenue | $8.49B | $7.31B | +16.19% |
Operating Income | $20.44B | $14.85B | +37.68% |
Net Income | $18.34B | $13.46B | +36.18% |
EPS (Basic) | $7.28 | $5.31 | +37.10% |
EPS (Diluted) | $7.14 | $5.16 | +38.37% |
R&D Expense | $12.94B | $10.54B | +22.82% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $294.74B | $230.24B | +28.02% |
Current Assets | $73.61B | $76.43B | -3.69% |
Total Liabilities | $99.67B | $73.47B | +35.66% |
Current Liabilities | $37.3B | $27B | +38.15% |
Stockholders' Equity | $195.07B | $156.76B | +24.44% |
Cash & Equivalents | $12.01B | $32.05B | -62.54% |
Long-Term Debt | $28.83B | $18.39B | +56.79% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash FlowYTD | $49.59B | $38.62B | +28.41% |
Investing Cash FlowYTD | $-45.97B | $-17.03B | -169.89% |
Financing Cash FlowYTD | $-35.47B | $-30.95B | -14.63% |
Dividends Paid | $1.33B | $1.27B | +4.82% |
Share BuybacksYTD | $22.92B | $21.31B | +7.57% |
D&AYTD | $8.24B | $7.01B | +17.56% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | 43.0% | 38.0% | +5.02% |
Net Margin | 38.6% | — | — |
ROE | 9.4% | — | — |
ROA | 6.2% | — | — |
Current Ratio | $1.973 | — | — |
Debt to Equity | $0.511 | — | — |
Meta reported a strong Q1 2026 with revenue surging 33.1% YoY to $56.3B and net income jumping 60.9% to $26.8B, driven by robust advertising demand, though R&D spending soared 45.7% and long-term debt more than doubled as the company aggressively invests in AI and infrastructure.
Meta Platforms delivered record revenue of $201.0B in FY2025, up 22.2% YoY, driven by strong advertising growth and expanding operating leverage, though net income dipped 3.1% to $60.5B as R&D spending surged 30.8% to $57.4B reflecting massive AI and metaverse investments.
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META reported strong financial results in Q2 FY2025 with a 21.6% increase in revenue and a 36.2% rise in net income, indicating robust performance.
Key takeaways include a 21.6% revenue growth, a 36.2% increase in net income, and significant R&D investments, highlighting META's focus on innovation.
META identified risks such as dependence on advertising revenue, regulatory challenges, and the need for continuous technological innovation.
META's revenue grew by 21.6% year-over-year to $47.52 billion, driven by increased advertising demand.
META shows strong financial health with a 28.4% increase in operating cash flow and a robust balance sheet, despite a decrease in cash and equivalents.