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Alphabet Posts Record Quarter as Profit Jumps One-Third, Shares Rise

Strong results overcame a €2.95 billion EU penalty to lift the shares in late trading.

Overview

  • Revenue climbed 16% to $102.35 billion, topping forecasts and marking Alphabet’s first quarter above $100 billion.
  • Net income rose to $34.98 billion from $26.3 billion a year earlier despite the European Commission’s €2.95 billion advertising fine.
  • Google’s core advertising business, including YouTube, grew 12.6% to $56.57 billion, remaining the company’s main revenue driver.
  • The stock gained roughly five percent after hours following the earnings release.
  • Google is expanding AI-generated search summaries that can answer queries directly, a shift the company says boosts usage as its AI mode reaches over 75 million daily users, while capital spending is now guided to $91–93 billion this year with a further increase flagged for 2026.