Overview
- Reporting in The Information says Meta signed a multi-year, multibillion-dollar deal to lease Google’s TPU chips to accelerate new AI models.
- On February 27, Moody’s affirmed Meta’s Aa3 ratings with a stable outlook, projected revenue growth of more than 20% in 2026 and 18% in 2027, and flagged limited to no free cash flow over the next two years due to elevated capex, citing leadership in non-search digital ads and roughly 3.6 billion daily users.
- Meta posted Q4 FY2025 revenue of $59.9 billion, up 24% year over year, with full-year revenue at $200.97 billion, up 22%, and EPS of $8.88 beating expectations.
- For Q1 FY2026, Meta guided revenue to $53.5–$56.5 billion, above consensus, with CFO Susan Li pointing to strong demand carrying from late Q4 into early 2026.
- Citizens analyst Andrew Boone reported Instagram global time spent rose 19.2% year over year in January, outpacing user growth and underscoring stronger engagement.