# Meta Tops Q3 Revenue Estimates, But Earnings Hit By Teen Lawsuit Settlement; Stock Split Creates Class C Shares

- URL: https://talkfuse.com/story/meta-tops-q3-revenue-estimates-but-earnings-hit-by-teen-lawsuit-settlement-stock-split-creates-class-c-shares/
- Published: 2026-10-21T20:30:41+00:00
- Updated: 2026-10-21T21:58:37+00:00
- Original publisher: Deadline
- Original article: https://deadline.com/2026/10/meta-q3-2026-earnings-muse-ai-stock-split-1237170051/
- Topics: Americas, Art, Business, Companies, Culture, Markets, World

## Key points

- Meta’s quarterly revenue reached a record $64 billion.
- A $9.89 billion settlement charge lowered reported earnings.
- New non-voting shares will support AI spending and other needs.

## Summary

Meta reported record third-quarter revenue of $64 billion, above analysts’ $63.3 billion forecast, while its earnings were reduced by a settlement in a lawsuit over alleged mental health harms to teenagers. The results highlight strong sales alongside continuing legal and regulatory risks tied to the company’s youth-related policies.

Earnings per share were $3.83, compared with $7.40 excluding a $9.89 billion settlement charge; the agreement allows payments of up to about $18.59 billion and includes measures such as restricting some features for under-16s. Meta also announced a 2-for-1 stock split and new non-voting Class C shares, due to begin trading in January 2027, to help fund AI investment and potentially employee compensation while preserving Mark Zuckerberg’s control.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.