Alphabet, Google’s parent, posted fourth-quarter results showing both revenue and net profit beat expectations.
Alphabet’s fourth-quarter revenue rose 18 percent from a year earlier to $113.83 billion, the company said. Net profit jumped 30 percent to $34.46 billion.
But Alphabet shares edged lower despite the strong results after it forecast capital spending would nearly double from a year earlier, CNBC reported on Feb. 4.
By business, fourth-quarter Google Cloud revenue came in at $17.66 billion, above analysts’ estimate of $16.18 billion. That was a 47 percent increase from a year earlier. Google Cloud provides most of Google’s AI services and products.
Advertising revenue was $82.28 billion, up 13.5 percent from a year earlier. YouTube advertising was $11.38 billion, missing analysts’ estimate of $11.84 billion.
Traffic acquisition costs were $16.59 billion, above analysts’ estimate of $16.2 billion. Alphabet projected 2026 capital spending of $175 billion to $185 billion, nearly double 2025 levels.
Chi-gyu Hwang
delight@d-today.co.kr