Alphabet, Google’s parent company, announced this Thursday, the 30th, impressive financial results for the third quarter, with a 33% increase in net profit, which reached 34.9 billion dollars (around 30 billion euros).
Global revenues also grew 16%, totaling $102.3 billion (approximately €88 billion), marking the first quarter in which the company surpassed the $100 billion barrier.
Operating profit rose 9% to $31.2 billion (around €26.8 billion), while the operating margin was 31%, compared to 32% in the same period last year.
The company highlighted that, by excluding an expense of 3.5 billion dollars (three billion euros) related to a fine from the European Commission, operating profit would have increased by 22%, with a margin of 33.9%, benefiting from strong revenue growth and efficiency in expense management.
Google Services revenues increased 14% to $87.1 billion (around €74.9 billion), reflecting the strong performance of Google Search, Google subscriptions, platforms and devices and YouTube ads.
In turn, Google Cloud revenues grew 34%, totaling 15.2 billion dollars (around 13 billion euros), driven by growth in core products, artificial intelligence infrastructure and generative artificial intelligence solutions.
Alphabet also confirmed that due to “business growth” and “demand from Alphabet customers Cloud”, investments in 2025 should vary between 91 billion dollars (approximately 78.3 billion euros) and 93 billion dollars (approximately 80 billion euros).
Sundar Pichai, CEO of Alphabet and Google, highlighted “an excellent quarter, with double-digit growth in all key areas of our business. We achieved our first quarter with a turnover of 100 billion dollars”.
Pichai highlighted that “our comprehensive approach to artificial intelligence (AI) is generating strong momentum” and mentioned that the Gemini app now has more than 650 million monthly active users. Google Cloud ended the quarter with $155 billion in backlog, and the company has more than 300 million paid subscriptions, led by Google One and YouTube Premium.