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(Sharecast News) - Google parent company Alphabet posted strongerthanexpected firstquarter results after the close on Wednesday, with revenue and cloud growth both beating forecasts.
Alphabet said revenues had risen 20% yearonyear to $109.9bn, ahead of the $107.2bn expected - marking the company's fastest quarterly growth since 2022 - while net income jumped 81% to $62.57bn, or $5.11 per share, compared with $34.54bn, or $2.81 per share, a year earlier.
Google Cloud delivered a standout performance, with revenue up 63% to $20.02bn, well above expectations, driven by strong demand for enterprise AI solutions and infrastructure. Search also had a strong quarter, with AIenhanced experiences supporting 19% revenue growth.
Advertising revenues rose 15.5% to $77.25bn, while YouTube advertising came in slightly below forecasts at $9.88bn, though Alphabet said subscription revenue was now growing faster than ad sales. Other Bets revenue slipped to $411m from $450m a year earlier.
Capital expenditure totalled $35.7bn in the quarter as Alphabet continued to invest heavily in datacentre and AI infrastructure. It also raised its fullyear 2026 capex outlook to $180bn-190bn.
Looking ahead, Alphabet guided for secondquarter revenues of $58bn-61bn, broadly in line with market expectations.
As of 2335 BST, Alphabet shares were up 5.73% in extended trading at $367.21 each.
Reporting by Iain Gilbert at Sharecast.com
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