Alphabet Inc., Google's parent company, announced its third-quarter results on October 29, 2024, exceeding revenue expectations with a 15% year-over-year increase, totaling $88.27 billion.
The company reported a net income of $26.3 billion, translating to earnings of $2.12 per share, a 34% rise compared to the same quarter last year. Analysts had predicted earnings of $1.85 per share.
Alphabet's digital advertising sector, a key revenue driver, saw sales rise to $65.85 billion, up from $59.65 billion a year ago. This growth is attributed to increased marketing spending ahead of the U.S. presidential election and high-profile events like the 2024 Paris Olympics.
Additionally, revenue from Google Cloud grew 35% year-over-year, reaching $11.35 billion, surpassing analyst forecasts. CEO Sundar Pichai stated that investments in AI technologies are yielding significant returns, enhancing both search and cloud services.
Despite the positive financial results, Alphabet faces ongoing regulatory scrutiny, including an antitrust lawsuit that could impact its operations. Nevertheless, the company’s stock rose 4% in after-hours trading following the earnings report.