Is Meta's AI Investment Frenzy Burdening Profit Forecasts? Today's Figures Will Reveal
Reading Time: 3 minutes
Until last year, the profits of social media giant Meta (i) were almost exclusively driven by advertising revenues, which make up about 98% of total revenue. However, Meta has heavily invested in AI data centers and research personnel, fundamentally changing its balance sheet and cash flow statement. While advertising revenues still take top priority, investors will pay particular attention on Wednesday afternoon to Meta’s investment plans for 2026 when the results for Q4 are announced. Strong Revenue Growth Meets Cost Pressure On average,...
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