Internet company Alphabetin the third quarter’s turnover and profit clearly grew more than analysts’ expectations from last year. The company announced its results after the stock market closed, but the stock rose more than four percent in the aftermarket.
The company’s turnover increased in July-September to 88.3 billion dollars from 76.7 billion dollars the previous year. Net income increased to 26.3 billion dollars from 19.7 billion dollars last year.
A consensus of 46 equity analysts gathered by Factset expected revenue to be $86.4 billion and net income to be $23.1 billion.
Earnings per share increased to $2.12 from $1.55 the previous year. Earnings per share were expected to be $1.81.
Google Cloud cloud services, whose revenue grew by 35 percent to $11.4 billion. The turnover of Google services increased by 13 percent and was 76.5 billion dollars. Growth was boosted by Google search and other services, Google subscriptions, platforms and devices, and YouTube ads.
The company’s advertising revenue grew to 65.9 billion euros from last year’s 59.7 billion dollars. Youtube’s share was 8.9 billion dollars.
The company’s CEO Sundar Pichain according to YouTube’s ad and subscription revenue exceeded $50 billion in the past four quarters for the first time.
“The momentum in the entire company is exceptional. Our commitment to innovation and our long-term focus and investment in artificial intelligence are paying off, and consumers and partners are benefiting from our artificial intelligence tools,” Picchain says in the company’s earnings release.
Alphabet invested $13 billion in the third quarter, most of it in servers, data centers and networking equipment.
Source: www.arvopaperi.fi
