Alphabet's Q3 Revenue Hits $88.27 Billion, EPS Beats at $2.12 Amid 35% Cloud Growth

Oct 29, 2024, 08:08 PM

Alphabet Inc., the parent company of Google, reported its third-quarter 2024 earnings, surpassing analysts' expectations with strong growth across its business segments. The company reported revenue of $88.27 billion, a 15% increase year-over-year, exceeding the estimated $86.45 billion. Net income rose by 34% to $26.3 billion, and earnings per share (EPS) increased by 37% to $2.12, beating the expected $1.84. Operating income was $28.52 billion, with an operating margin of 32%. Google Services revenue increased by 13% to $76.5 billion. Google Cloud revenue grew significantly by 35% to $11.35 billion, with an operating margin of 17%, surpassing the estimated $10.79 billion. Google's advertising revenue rose by 10.4% to $65.85 billion, with YouTube advertising revenue increasing by 12.2% to $8.92 billion. Traffic acquisition costs were $13.72 billion. The strong performance was driven by growth in the digital advertising business and an AI-driven increase in demand for its cloud services. CEO Sundar Pichai stated that the momentum across the company is extraordinary. Alphabet also announced a cash dividend of $0.20 per share.