What to Know:
– Alphabet, the parent company of Google, has reported its Q3 earnings.
– The company’s revenue for Q3 was $46.2 billion, a 14% increase compared to the same period last year.
– Google’s advertising revenue accounted for the majority of Alphabet’s revenue, totaling $37.1 billion in Q3.
– Other revenue, which includes Google Cloud and hardware sales, reached $5.4 billion in Q3.
– Alphabet’s net income for Q3 was $11.2 billion, a significant increase from $7.1 billion in Q3 2019.
– The company’s earnings per share (EPS) for Q3 were $16.40, beating analysts’ expectations of $11.29 per share.
– Google’s search and other advertising revenue grew by 6% in Q3, while YouTube ad revenue increased by 32%.
– Google Cloud revenue reached $3.4 billion in Q3, a 45% increase compared to the same period last year.
– Alphabet’s total cash and marketable securities stood at $121.1 billion at the end of Q3.
The Full Story:
Alphabet, the parent company of Google, has reported its Q3 earnings, exceeding analysts’ expectations. The company’s revenue for the quarter was $46.2 billion, a 14% increase compared to the same period last year. Google’s advertising revenue accounted for the majority of Alphabet’s revenue, totaling $37.1 billion in Q3.
Alphabet’s net income for Q3 was $11.2 billion, a significant increase from $7.1 billion in Q3 2019. The company’s earnings per share (EPS) for Q3 were $16.40, beating analysts’ expectations of $11.29 per share.
Google’s search and other advertising revenue grew by 6% in Q3, while YouTube ad revenue increased by 32%. The COVID-19 pandemic has led to increased online activity, resulting in higher ad revenue for Google.
Alphabet’s other revenue, which includes Google Cloud and hardware sales, reached $5.4 billion in Q3. Google Cloud revenue saw significant growth, reaching $3.4 billion, a 45% increase compared to the same period last year. The demand for cloud services has surged during the pandemic as businesses and individuals rely more on remote work and online services.
Alphabet’s total cash and marketable securities stood at $121.1 billion at the end of Q3. The company continues to maintain a strong financial position, allowing it to invest in new technologies and acquisitions.
During the earnings call, Alphabet CEO Sundar Pichai highlighted the growth of Google Cloud and the company’s commitment to expanding its cloud services. Pichai mentioned that Google Cloud is now on a $10 billion annual revenue run rate and has seen significant wins in industries such as retail, finance, and media.
Pichai also discussed the progress of Google’s hardware business, including the recent launch of the Pixel 5 smartphone and the new Chromecast with Google TV. He emphasized the company’s focus on building helpful and innovative products for users.
Alphabet’s strong Q3 performance reflects the resilience of its advertising business and the growth of its cloud services. Despite the challenges posed by the pandemic, Google has managed to capitalize on the increased online activity and the shift towards remote work and digital services.
As the world continues to navigate the uncertainties of the COVID-19 pandemic, Alphabet’s strong financial position and diverse revenue streams position the company well for future growth and innovation.
Original article: https://www.searchenginejournal.com/live-blog-google-parent-alphabet-reports-q3-earnings/499217/