Alphabet reports big fourth-quarter beat; stock pops

Earnings

In this article

Sundar Pichai, CEO of Alphabet, in Brussels, Belgium, on Jan. 20, 2020.
Geert Vanden Wijngaert | Bloomberg | Getty Images

Google parent Alphabet reported better-than-expected fourth-quarter earnings and revenue. The shares popped in extended trading.

The company also announced a 20-for-1 stock split that will go into effect in July.

Here are the key numbers:

  • Earnings per share (EPS): $30.69 vs $27.34 expected, according to Refinitiv
  • Revenue: $75.33 billion vs $72.17 billion expected, according to Refinitiv
  • YouTube advertising revenue: $8.63 billion vs. $8.87 billion expected, according to StreetAccount
  • Google Cloud revenue: $5.54 billion vs $5.47 billion expected, according to StreetAccount
  • Traffic acquisition costs (TAC): $13.43 billion vs. $12.84 billion expected, according to StreetAccount

Google’s advertising revenue came in at $61.24 billion for the quarter. That’s up from $46.20 billion the same time last year.

The company also beat on Wall Street’s expectations for its cloud unit, which reported revenue of $5.54 billion.

Revenue for Other Bets, which includes the company’s self-driving car unit Waymo and life sciences unit Verily, came in at $181 million — down slightly from a year ago.

Traffic Acquisition Costs (TAC), which is the metric used to describe what the company pays other websites to acquire traffic, came in higher than Wall Street expected at $13.43 billion.

This is breaking news. Please check back for updates.

WATCH: Google and Meta report earnings soon, here’s what to expect

Articles You May Like

Walmart may have to raise some prices if Trump tariffs take effect, CFO says
Lowe’s beats on earnings and hikes guidance, but still expects sales to fall this year
Ex-Spousal Benefits: What ‘Independently Entitled’ Means
U.S. companies could be caught in the crosshairs if China retaliates to fight Trump
Baidu posts 3% drop in third-quarter revenues, beating market expectations

Leave a Reply

Your email address will not be published. Required fields are marked *