Meta reported $31.1 billion of Q2 spending, leaving $784 million in free cash flow after investment, but profit fell short of analysts’ expectations, sending the stock down more than 7% in after‑hours trading.
The company also disclosed it expects a roughly $10 billion legal charge this quarter tied to a settlement of up to $18 billion over allegations that its apps harmed children, adding further pressure to its earnings outlook.
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SpaceX disclosed Q2 expenditures of $18.4 billion, of which $15.8 billion was allocated to its artificial‑intelligence unit, and reported a net loss of $541 million; however, the AI unit itself generated a $1.1 billion adjusted profit, highlighting a profitable sub‑segment amid overall losses.
The launch‑vehicle maker is reportedly pursuing $40 billion in debt financing to acquire chips needed for its AI initiatives, underscoring the capital intensity of its growth strategy.
Tesla delivered 486,532 vehicles in July and posted earnings of $0.33 per share, missing the consensus estimate of $0.55, suggesting margin pressure despite strong delivery numbers.
Nasdaq values Meta, Tesla and Netflix at roughly $3.6 trillion combined, indicating the material market impact of the earnings miss from two of the three firms.
Elon Musk projected that SpaceX aims to exceed $100 billion in annual recurring revenue by December 2026, a target that would require sustained AI‑driven growth and significant capital deployment.
This story was compiled by the Tradexus News Desk with the help of AI.
