Reality Labs
Q2 2026 revenue $431M, up 16%; operating loss $4.62B. Meta said in January that 2026 losses would stay similar to 2025.
The numbers
What it is
Meta's hardware and metaverse unit. It sells Quest headsets and Ray-Ban Meta AI glasses and builds the software and AI features that run on them. Revenue is small compared with the losses.
Why it matters to the stock. Reality Labs lost $19.19B in 2025, which cut Meta's overall operating profit by about that amount. Traders watch the loss size and whether glasses growth can offset falling headset sales.
News
Meta Connect 2026: Muse comes to AI glasses, plus VR glasses and new Ray-Ban models
At Meta Connect, Meta said Muse will come to its AI glasses in the coming months and unveiled a lightweight VR glasses device.
Meta Q2 2026: revenue up 28% to $60.8B, but EPS fell 13% and Q3 guidance is $61-64B
Revenue grew 28% to $60.80 billion, while GAAP diluted EPS fell 13% to $6.18 after legal and severance charges and higher spending.
Meta guides Q2 2026 revenue to $58-61B and raises 2026 capex to $125-145B
In the same April 29 release Meta guided second-quarter 2026 revenue to $58 to 61 billion and raised its 2026 capital expenditure range to $125 to 145 billion from $115 to 135 billion, citing higher component pricing and, to a lesser extent, data center costs.
Meta Q4 2025 revenue rises 24% to $59.89B; 2026 capex guided to $115-135B
Meta beat fourth-quarter 2025 expectations, with revenue of $59.89 billion, up 24%, and diluted EPS of $8.88, up 11%.
Meta starts job cuts of about 10% in Reality Labs as it shifts from metaverse to wearables
Meta began notifying staff on January 13 of cuts across Reality Labs, the division that holds its VR and metaverse work, with Bloomberg reporting more than 1,000 jobs.
Meta delays Ray-Ban Display glasses international launch on limited inventory
Meta postponed the planned early-2026 rollout of its Ray-Ban Display glasses to the UK, France, Italy and Canada, saying inventory was extremely limited and US demand was strong.