Meta Q3 Earnings More Than Double Despite $9.89 Billion Legal Charge
Meta beat Wall Street estimates for third-quarter revenue and adjusted earnings despite a nearly $10 billion legal charge tied to teen mental-health litigation. Revenue rose 26% to $64.6 billion, and earnings per share excluding one-time legal costs came in at $7.40. The company disclosed a $9.89 billion charge from an August agreement with 52 attorneys general.
Meta reported third-quarter revenue of $64.6 billion, a 26% increase from a year earlier, topping the $63.3 billion that analysts had projected. Adjusted earnings per share came in at $7.40, excluding one-time legal charges, ahead of Wall Street's $5.46 estimate. TheWrap reported that Meta's earnings more than doubled despite the legal costs.
The results included a $9.89 billion charge in third-quarter costs and expenses. Meta said the charge stemmed from an August 2026 agreement with 52 attorneys general to resolve litigation over teen mental health and social media. That agreement provides for payments of up to about $18.59 billion.
TheWrap reported that the quarter came despite high legal fee payouts connected to various social media addiction trials this year. Even with the charge, Meta's revenue and earnings excluding one-time legal items beat expectations. The company released the results on Oct. 21, 2026.
TopicsMeta · TheWrap
Source: thewrap.com
Written by Paparazzi with AI. Not financial advice.