Meta’s cash flow sinks 91% as AI ambitions run into legal costs

Meta Platforms posted a quarterly profit of $15.85 billion on revenue of $60.8 billion, down 14% from a year earlier, as legal bills and severance costs weigh on results. Free cash flow plunged 91% to $784 million due to $2.4 billion in legal expenses and layoffs, even as Zuckerberg champions AI and the company forecasts $61–64 billion in Q3 revenue. Meta’s headcount stood around 75,472 after layoffs, and the stock fell in after-hours trading following the results.