Meta Platforms forecast third-quarter revenue well above Wall Street estimates on Wednesday, as artificial intelligence continued to strengthen its core advertising business, sending its shares up 10% in extended trading.
The company also raised the lower end of its capital expenses forecast for the year.
The bumper results could ease investor worries, at least for now, about Meta's forecast that the year-over-year growth rate in the fourth quarter would be slower than in the third quarter. Investors also shrugged off the company's comments on rising infrastructure and employee compensation costs, which Meta said would "result in a 2026 year-over-year expense growth rate that is above the 2025 expense growth rate."
