- Alphabet’s earnings beat expectations in the first quarter of 2024 and sent shares higher.
- Google Search, YouTube, Google Cloud and AI technologies like Gemini performed well.
- The first quarter results came after a tumultuous 2023 marked by large-scale layoffs.
Alphabet, Google’s parent company, reports its quarterly results.
Google and Alphabet CEO Sundar Pichai joins earnings calls to provide updates and answer questions.
Here’s a look at Alphabet’s most recent earnings and financial history.
Alphabet Q1 2024 results
Alphabet’s April 2024 earnings report far exceeded analyst projections, sending shares soaring.
The company reported a 15% year-over-year increase in revenue to $80.5 billion in revenue, and also issued its first-ever dividend of $0.20 per share .
During the earnings call, Pichai touted “strong” performance from Google Search, YouTube and Google Cloud. He also spoke enthusiastically about the company’s advances in artificial intelligence and said Alphabet was in its “Gemini era,” a reference to Google’s Gemini AI chatbot.
Google has gradually integrated AI into its core products, such as YouTube and Workspace, the suite of productivity programs like Gmail, Google Calendar and Google Drive.
“Our leadership in AI research and infrastructure, along with our global product footprint, positions us well for the next wave of AI innovation,” Pichai said.
Alphabet Q4 2023 results
Alphabet beat expectations in the fourth quarter of 2023, even as Google’s advertising sales fell slightly below analysts’ forecasts, sending shares lower.
Alphabet’s revenue reached $86.3 billion, up 13%, and the company reported net income of $20.28 billion, or $1.64 per diluted share.
During the earnings conference call, Pichai noted that Google had just launched its new Gemini AI model and remarked that “the best is yet to come.”
Alphabet Q3 2023 results
Alphabet’s third-quarter earnings beat analyst estimates, beating revenue and profit forecasts. But Google’s stock fell 10% after its cloud business failed to meet Wall Street’s expectations.
Google Cloud revenue increased 22% to $8.4 billion, but down from 28% growth in the previous quarter.
During the earnings conference call, Pichai noted that the company was growing and rolling out new AI services, and said the company was “excited and confident” about its future prospects.
Alphabet Earnings History
Alphabet – made up of Google and a collection of other companies known as Autres Paris – had a tumultuous 2023, unveiling its most ambitious artificial intelligence technology and posting annual revenue of 307 .39 billion, but also removing about 6% of the company.
Like many tech companies in the post-pandemic era, Alphabet has sought to cut costs and make layoffs. Alphabet laid off some 12,000 employees in 2023, and at the end of the fourth quarter, the company reported having about 182,500 total employees.
Executives also warned that the layoffs are not over: Pichai plans further job cuts throughout 2024. Pichai explained that the layoffs at Google have been intentionally slow because the company is “taking time to do it correctly and well.”
Yet Alphabet’s market capitalization reached $2 trillion in spring 2024, a new milestone that made Google the fourth most valuable public company in the world.
The majority of Alphabet’s revenue comes from Google, since the parent company was founded in 2015. Other Bets, which includes companies like Waymo, Verily, equity investment fund Capital G and research and development unit Google X generates most of its revenue. revenues from healthcare-related services, but also records significant operating losses.
In the first quarter of 2024, Other Bets reported revenue of $495 million but reported an operating loss of $1 billion.
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