Google parent Alphabet beats earnings expectations
The search-engine giant’s internet advertising and cloud computing businesses benefitted from a surge in online shopping.
Alphabet Inc and its Google unit on Tuesday reported higher-than-expected fourth-quarter sales as the search-engine giant’s internet advertising and cloud computing businesses benefitted over the holiday season from the growing surge in online shopping.
Alphabet’s overall quarterly sales jumped to $75.3bn, above the average estimate of $72bn among financial analysts tracked by Refinitiv. Total Google revenue was $74.9bn, above estimates of $71.652bn.
Shares of Alphabet rose 4.5 percent during after-hours trading to $2,875.
The company’s third straight quarter of record sales reflects the growth of ad-laden Google services such as internet search, email and YouTube video streaming, since the coronavirus pandemic made hybrid work and e-commerce customary across much of the world.
Google generates more revenue from internet ads than any other company.
Google had said that during the third quarter, it lost some sales because companies running low on product trimmed marketing and new iPhone privacy measures curtailed its ability to track users online.
The company also announced on Tuesday a 20-for-one stock split that would come in July if approved by shareholders.