Meta's Shares Spike Post-Q2, Boosted by Surpassing Financial Projections and Advancements in Sustainability Goals
Meta Platforms, the parent company of Facebook and Instagram, has raised its Q3 revenue guidance to a range of $47.5-50.5 billion, marking a significant increase from earlier predictions. This announcement comes amidst the company's ongoing efforts to address climate change and achieve net-zero emissions across its entire value chain by 2030.
In a notable achievement, Meta has already reached net-zero emissions for its global operations (Scope 1 and 2) since 2020. This milestone was primarily achieved through reducing direct emissions and purchasing 100% renewable energy. From a 2017 baseline, Meta has cut operational emissions by 94%, making it one of the world’s largest buyers of clean electricity[1].
However, the larger challenge lies in reducing Scope 3 emissions, which include upstream and downstream activities such as suppliers, hardware manufacturing, logistics, business travel, and cloud usage. In 2023, Meta's market-based net Scope 3 emissions were approximately 7.5 million metric tons of CO₂e, with location-based emissions around 14 million metric tons[1].
To address these emissions, Meta launched a Net Zero Supplier Engagement Program, encouraging suppliers to set science-based emissions reduction targets[1]. The company's strategy to achieve full value-chain net-zero emissions by 2030 includes reducing emissions of its physical infrastructure, especially in data center construction, by innovating material use.
Traditional concrete and steel are being supplemented or replaced by low-carbon concrete, near-zero-emissions steel, and mass timber (engineered wood products such as cross-laminated timber)[2][3][4][5]. Meta is piloting mass timber construction at several U.S. data center campuses, which can reduce embodied carbon (emissions associated with raw material extraction, manufacturing, transportation, and installation) by about 41% compared to conventional materials[4][5].
Incorporating mass timber also potentially shortens construction time, reduces the volume of concrete foundations, and offers fire resistance and structural strength benefits. This is complemented by efforts via membership in RMI’s Sustainable Steel Buyers Platform to source low-carbon steel and concrete[2][3][4].
Meta highlights that sustainably sourced, bio-based materials like wood store carbon that has been sequestered during tree growth, which improves embodied carbon profiles relative to engineered steel and concrete[3][4]. By the end of 2023, around 28% of supplier-related emissions were covered by supplier reduction plans.
In addition to its climate initiatives, Meta aims to become water positive by 2030, restoring over 1.5 billion gallons of water in 2024 through 18 nature-based projects. The company aligns its climate-related reporting with the Task Force on Climate-related Financial Disclosures (TCFD) and follows guidance from the Sustainability Accounting Standards Board (SASB).
Despite these efforts, Meta faces criticism for relying heavily on carbon offsets and RECs and not disclosing a detailed decarbonization pathway for its full Scope 3 emissions. The company's stock price jumped over 11% on the day of the earnings announcement, reflecting investor confidence in its financial performance and sustainability commitments.
Meanwhile, Meta reported $47.5 billion in Q2 2025 revenue, exceeding analyst expectations by $2.7 billion. Earnings per share for Q2 2025 were $7.14, a 36-38% rise above forecasts. Advertising revenue drove the results, rising 21% to $46.6 billion. Meta plans to invest up to $70 billion in capital spending in 2025, most of which will fund AI data centers and talent recruitment.
Meta diverted over 80% of operational waste from landfills in 2023, demonstrating its commitment to sustainability. Many of Meta's facilities are certified under LEED (Leadership in Energy and Environmental Design). Meta supports policies that promote clean energy adoption and sustainable supply chains.
As Meta moves forward, its next phase is achieving net zero across its supply chain, which will require more supplier collaboration, stronger accountability, and continued transparency. The company has narrowed its full-year expense range to $114-118 billion and capital expenditures to $66-72 billion. Meta's net-zero ambitions, coupled with its financial success, position it as a key player in the tech industry's ongoing sustainability efforts.
[1] Meta Sustainability Report 2023 [2] Low-Carbon Steel: A Guide for Buyers (RMI, 2022) [3] Mass Timber in Building: Sustainability and Performance (USDA Forest Service, 2019) [4] The Carbon Footprint of Mass Timber (USGBC, 2021) [5] The Role of Mass Timber in Reducing Embodied Carbon (WoodWorks, 2020)
Meta Platforms, in its quest to achieve net-zero emissions across its entire value chain by 2030, will be investing in technology related to clean energy and renewables. Part of this strategy involves innovative material use, such as using low-carbon concrete, near-zero-emissions steel, and mass timber for data center construction, aiming to reduce emissions and embodied carbon, while also potentially shortening construction time and offering fire resistance and structural strength benefits. As Meta continues to collaborate with suppliers and advocate for clean energy policies, it seeks to decrease Scope 3 emissions, transforming itself as a key player in the tech industry's sustainability efforts.
