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Tuesday, November 29, 2022
Home All Technology Google can’t stop printing money in another record-setting quarter

Google can’t stop printing money in another record-setting quarter


It’s no secret that the tech industry continues to grow at a breakneck pace, especially in a world where many of us spent nearly eighteen months cooped up at home for both work and recreation. Google and its parent company Alphabet have seen wild financial success over the last year, and this quarter is no different. After breaking records in Q1 2021, Google has returned to do it all over again in Q2.

Alphabet had a net profit of over $19 billion in the last three months, $1 billion more than its Q1 earnings and three times as much as it scored in Q2 2020. Total revenue stands at a whopping $61.9 billion altogether, the third record-setting quarter in a row, with most of that cash coming from Google Search and YouTube. Its search engine managed to bring home $35 billion, while YouTube ads jumped up 83% compared to last year’s Q2 report to $7 billon.

Cloud services also saw a 53% jump since this time last year, perhaps spurred by Google abandoning free Photo backups at the start of June. That boost wasn’t enough to stop the division (which also includes Workspace) from bleeding cash, though the operating loss is quickly slowing down. Even if you haven’t been following the company’s recent earnings reports, it’s obvious these numbers are impressive, and the market seems to agree. Google is currently up about 3% in after-hours trading.

On today’s earnings call, Google and Alphabet CEO Sundar Pichai highlighted a “rising tide of online and business activity” leading to all of these various record-setting numbers. Meanwhile, CFO Ruth Porat hinted at upcoming product launches aimed at the holiday season, as the company expects its sales and marketing expenses to increase throughout the back half of 2021. As for what those could be, we’ll just have to wait to find out.