Sumary of Alphabet Profitability Still Hidden In The Cloud As It Surges Past FAANG Toward Q2 Earnings:
- Overall revenue came in strong at $55.3 billion, up 34% year over year, with each business segment topping expectations by a wide margin except for one that matched consensus.
- For a company whose $1 trillion market cap has only a handful of peers in the world, you have to wonder how much more growth is possible, especially considering that GOOGL seems to be in every global market, driving some part of every sector and every industry.
- Still, its appetite for growth and innovation is what seems to rejuvenate the 23-year old company.
- And its forward outlook in its earnings conference call, courtesy of CEO Sundar Pichai, could reflect the scope of the company’s present operations and future ambitions—literally and “virtually,” all over the map.
- As is often the case going into GOOGL earnings, ad revenue growth will likely be on investors’ minds.
- Last quarter’s $4 billion in cloud revenue revealed the strength and speed of GOOGL’s charge, exhibiting a solid 46% year over year growth.
- Given the level of emphasis CEO Pichai places on the segment in nearly every earnings conference call, it’s hard not to suspect that GOOGL’s cloud services could help shape the company’s future profitability and market dominance.
- Still, expansion by way of acquisitions appears to be an active part of GOOGL’s growth mix, along with fellow peers MSFT and AMZN.