Technology giant Alphabet Inc GOOG ))GOOGL reported first-quarter financial results after the market close Tuesday. Here are the key highlights.
What Happened: Alphabet reported first-quarter revenue of $69.79 billion, up 3% year-over-year. The revenue total beat a Street estimate of $68.9 billion, according to data from Benzinga Pro.
The company reported earnings per share of $1.17, which beat a Street estimate of $1.06.
“We are pleased with our business performance in the first quarter, with Search performing well and momentum in Cloud. We introduced important product updates anchored in deep computer science and AI,” Alphabet CEO Sundar Pichai said.
The company reported revenue by segment as follows, with the previous year's figure in parentheses:
- Search and Other: $40.4 billion ($39.6 billion)
- YouTube Ads: $6.7 billion ($6.9 billion)
- Google Network: $7.5 billion ($8.2 billion)
- Total Advertising: $54.6 billion ($54.7 billion)
The Google Other segment saw revenue of $7.4 billion. Google Cloud revenue hit a total of $7.5 billion in the quarter, up from $5.8 billion in the previous year’s first quarter.
The company reported charges of around $2 billion in relation to workforce reduction and related severance charges in the first quarter.
Related Link: Trading Strategies For Alphabet (Google) After Q1 Earnings
What’s Next: The company said it is working to bring its Google Research team and DeepMind together to help accelerate its progress in artificial intelligence. The new unit, Google DeepMind, will begin reporting in the second quarter of 2023.
“Our North Star is providing the most helpful answers for our users, and we see huge opportunities ahead, continuing our long track record of innovation,” Pichai said.
Along with its quarterly earnings Tuesday, Alphabet also announced the authorization of a $70 billion share buyback program.
GOOG Price Action: Alphabet shares are up 4% to $108.58 in after-hours trading Tuesday.
Photo via Shutterstock.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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