Alphabet, Google’s parent company presented its results from the first quarter of the year, widely exceeding market expectations. The company reported a net profit of US $34,540 millionwhich represents a growth of the 46% compared to US $23,662 million obtained in the same period of the previous year.
This performance translates into a BPA benefit (BPA) of US $ 2,81exceeding both US $1.89 of the first quarter of 2024 as the forecasts of consensus, which estimated US $ s2.01.
Total income reached US $90,234 millionwith an interannual rise in 12%also above market estimates, which aimed au $ s89,120 million. Meanwhile, the Operating benefit It was located at US $30,606 millionwith a solid 34% margin.
After the announcement, Alphabet’s actions upload a 4% in After-Market operationsdriven not only by good results, but also by the launch of a Ambitious shares of shares for up to US $ 70,000 millionwhich reinforces the company’s confidence in its future performance.
Alphabet: Strong growth in the cloud and subscriptions, although some segments are below the forecasts
Alphabet, in turn, presented additional details of his solid performance in the first quarter of the year, although some specific indicators did not reach market expectations.
As for advertising income, YouTube contributed US $ 8,927 millionjust below US $8,970 million estimated by analysts. Meanwhile, Google Cloud reported an turnover of US $12,260 millionwith an interannual growth of 28%although slightly lower than consensus, which projected US $12,270 million.
On the cost side, Traffic acquisition costs (CT) ascended to USD 13,748 millionalso exceeding the forecasts that located them at US $13,660 million.
The CEO of the company, Pichai sundarstressed that the results reflect “healthy growth and strong impulse throughout the organization”, Underlining the central role of artificial intelligence in the performance of the quarter.“ This quarter we released Gemini 2.5our most advanced AI model to date, which is raising performance and sitting an extraordinary basis for future innovations, ”he said. Pichai also mentioned that the functions driven by AI, such as Ai overViewsthey already reach 1.5 billion monthly users.
As for the subscription business, Alphabet exceeded 270 million paid users thanks to the sustained growth of YouTube and Google Onewhile the segment of cloud continues to expand quickly Given the strong business demand.
In addition, the company announced a 5% increase in its dividendwhich translates into a quarterly payment of U $ s0.21 per action. Finally, the Board of Directors approved a new sharing repurchase program for up to US $ 70,000 millionwhich will be implemented flexible according to market conditions, with the aim of continuing to generate value for shareholders.
Source: Ambito
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