Meta Platforms reports $60.8 billion Q2 revenue amid AI spending surge

Meta Platforms reported significant revenue growth in the second quarter of 2026, with revenue reaching $60.8 billion, a 28% increase year-over-year. In the United States, average revenue per user (ARPU) rose 31% to $125. The company’s Instagram platform reached a milestone of 2 billion daily active users globally.

Across its entire family of apps, including Facebook, Instagram, WhatsApp, and Messenger, daily active people averaged 3.60 billion in June 2026, representing a 3% year-over-year increase. While advertising revenue remains strong, Meta is facing substantial costs due to massive investments in artificial intelligence infrastructure. Second-quarter capital expenditures reached $31.08 billion for AI compute facilities, and full-year guidance for capital expenditures has been raised to a range of $130 billion to $145 billion.

Despite the top-line momentum, net income fell 14% to $15.85 billion, and operating margins compressed to 31% from 43% the previous year. This decline is attributed to surging costs and expenses, which rose 55% to $42.03 billion. Additionally, free cash flow reached a nearly four-year low of $784 million during the quarter.