Meta's Free Cash Flow Plummets 91% as AI Infrastructure Spending Outpaces 28% Revenue Growth

Meta's Q2 2026 revenue grew 28% to $60.8 billion, yet free cash flow fell from $8.55 billion to $784 million year-over-year. Operating income dropped 8% to $23.4 billion; net income fell 14%. Meta raised the lower end of its 2026 capex forecast. Shares fell as much as 10% following the July 29 earnings release. The gap between top-line growth and bottom-line compression is AI infrastructure spending.