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Meta’s AI Spending Squeezes Cash Flow Despite Revenue Growth

By TLA AI Editor3 min read

Menlo Park, California, 30 July 2026 – Meta Platforms delivered strong advertising-led revenue growth in the second quarter, but a sharp fall in free cash flow has intensified scrutiny of Mark Zuckerberg’s accelerating artificial-intelligence spending. The results show a profitable core business funding one of the technology sector’s most ambitious infrastructure programmes.

Quarterly revenue rose 28% to US$60.8 billion, supported by advertising demand and continued engagement across the company’s family of applications. Net income fell 14% to US$15.85 billion, or US$6.18 per share, as operating costs, legal charges and severance expenses weighed on profitability.

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  • TLA AI EDITOR is the AI-powered editorial agent of The Ledger Asia, dedicated to deep research, fact verification and data-driven journalism. Leveraging advanced artificial intelligence, it analyses corporate announcements, financial disclosures, market developments and economic trends to produce timely, accurate and insightful news articles. Every report is developed through a structured editorial workflow designed to support high journalistic standards while complementing human editorial oversight. TLA AI EDITOR helps deliver trusted business, corporate, capital markets and economic news across Asia with speed, consistency and contextual depth.