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Google parent Alphabet reported fiscal second-quarter results on Wednesday. Here are the numbers
- Earnings per share: $9.11
- Revenue: $119.80 billion vs $116.93 billion expected by LSEG
It was unclear if the earnings per share were comparable to the $2.89 expected by LSEG
Google’s earnings mark the first major test this earnings season for the ballooning capital expenditures trade fueling the artificial intelligence revolution
In recent months, technology giants have poured billions into building new data center infrastructure to keep pace with skyrocketing demand for compute. But those massive investments have started to raise questions over the sustainability of long-term demand. Consensus estimates from FactSet expect $187.1 billion in capex this year for Alphabet
Google’s AI pipeline is also top of mind for investors after the company reportedly delayed the launch of its flagship model
On Tuesday, the company debuted three cheaper Gemini models, including a cyber model geared to tackle cybersecurity concerns with the rise of highly capable models like Anthropic’s Mythos
Google’s search business is expected to hit $63.4 billion from $54.19 billion last year YouTube advertising revenue and cloud are estimated to reach $10.8 billion and $22.3 billion, respectively, from $9.8 billion and $13.62 billion a year ago
Alphabet GOOGL stock chart
CNBC’s reporters are covering Alphabet earnings from bureaus in San Francisco and Englewood Cliffs, New Jersey
1 Min Ago
DA Davidson’s Gil Luria reacts to earnings, Anthropic equity boost
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8 Min Ago
World Cup drives record search win for Google
Mikel Merino of Spain celebrates after winning the FIFA World Cup 2026 Final match between Spain and Argentina at New York New Jersey Stadium in East Rutherford, New Jersey, USA on July 19, 2026.
Evrim Aydin | Anadolu | Getty Images
The recent World Cup international soccer tournament drove record search queries to Google
“As a big football fan, I was particularly excited to see search usage hit an all-time high during the World Cup this year,” Pichai said on an earnings call with analysts. “This really highlights how much people turn to Google in moments that matter.”
The company said 1.7 billion unique viewers globally watched World Cup-related videos on YouTube during the event
— Samantha Subin
21 Min Ago
Sales related to Waymo and other bets increased 2%
Alphabet’s other bets category — which includes businesses like Waymo and Verily — came in at $382 million for the second quarter, representing a 2.4% year-over-year increase
—Jonathan Vanian
22 Min Ago
YouTube advertising jumps 13%
Google’s YouTube advertising revenue rose 13% to about $11.06 billion, topping a StreetAccount estimate of $10.81 billion
That’s up from $9.8 billion in the year-ago period and about $9.9 billion last quarter
— Samantha Subin
27 Min Ago
Alphabet posts $99 billion gain on equity securities
Guests dressed as astronauts during the SpaceX closing bell ceremony at the Nasdaq MarketSite in New York, US, on Friday, June 12, 2026.
Michael Nagle | Bloomberg | Getty Images
Perhaps the biggest catalyst in Alphabet’s profit-and-loss statement, released after market close on Wednesday, was the $97.98 billion in “other income.” It’s the singular factor that helped Alphabet’s profit reach $112.11 billion for the second quarter, up 298% year over year
The mainty securities. The gain was up from just $1.29 billion in the second quarter of 2025
The $99.03 billion figure includes realized and unrealized gains and losses. Alphabet is sitting on investments in Anthropic and SpaceX
— Jordan Novet
31 Min Ago
Sundar Pichai on second-quarter results, AI momentum
Sundar Pichai, chief executive officer of Alphabet Inc., during the Google I/O Developers Conference in Mountain View, California, US, on Tuesday, May 19, 2026.
David Paul Morris | Bloomberg | Getty Images
“Our AI investments are redefining what’s possible across every part of our business,” CEO Sundar Pichai said in a press release, highlighting the company’s strong AI pipeline
The company said its Gemini App now has 950 million active users and can process 22 billion API tokens per minute. That’s up from 16 billion last quarter
— Samantha Subin
36 Min Ago
Capex totals $44.9 billion, slightly ahead of estimates
Google reported $44.9 billion in capital expenditures during the second-quarter. StreetAccount estimates called for capex of $44.8 billion
The company said second-quarter capital expenditures grew 100% year-over-year
— Samantha Subin
40 Min Ago
Google search revenue jumps 17%
Google’s search revenue grew 17% to $63.3 billion, up from about $54.2 billion a year ago. That was slight behind a StreetAccount estimate of $63.4 billion
— Samantha Subin
43 Min Ago
Cloud jumps 82% from a year ago on AI demand
A Google cloud logo is seen at the announcement of Google’s biggest-ever investment in Germany on November 11, 2025 in Berlin, Germany.
Sean Gallup | Getty Images News | Getty Images
Google’s cloud revenue jumped 82% to $24.8 billion, up from $13.6 billion a year ago
Analysts had forecast revenue of $22.4 billion, reflecting 64% year-over-year growth. Cloud backlog totalled $514 billion, the company said
Google’s cloud growth has been accelerating ahead of competitors Microsoft and Amazon Web Services
Last quarter, Google’s cloud business topped $20 billion
— Samantha Subin
44 Min Ago
Revenue jumps 24%
Google’s revenue rose 24% to $119.8 billion, up from $96.4 billion in the year-ago period, the company said
— Samantha Subin
1 Hour Ago
Alphabet execs likely to give Waymo update as robotaxi service aims for international expansion
A line of Waymo robotaxis drives through North Beach on July 7, 2026 in San Francisco, California.
Heather Diehl | Getty Images
Alphabet’s autonomous vehicle venture, Waymo, is far ahead of U.S. competitors today. In late 2025, CEO Sundar Pichai told employees at an all-hands meeting that he expected the business to “meaningfully” contribute to Alphabet’s financials as soon as 2027
Executives are likely to face questions about Waymo, as the company fields safety concerns while working to expand in the U.S. and to take the robotaxi service international this year
Today, Waymo operates a driverless ride-hailing service commercially in 11 major metro areas across the U.S., and is running testing or limited services in 21 other cities, including testing in London and Tokyo
According to an online database maintained by the Texas Department of Motor Vehicles, Waymo now has 677 robotaxis registered in the Lone Star state, compared to 175 vehicles registered for use as driverless ride-hailing vehicles in Texas by Tesla and 44 registered by Amazon-owned Zoox
In its first quarter update, Baidu said its Apollo Go robotaxi service footprint spanned 27 cities as of May 2026, and during that period, the autonomous ride-hailing service delivered 3.2 million fully driverless operational rides
—Lora Kolodny
1 Hour Ago
Digital ad market looks stable, at least for now
Despite the war in Iran and ongoing concerns about its impact on the broader economy, the digital advertising market appears to be humming along
Analysts at Bernstein wrote in a note on Tuesday that their recent advertising channel checks “were strong for Meta and Google,” implying that the two digital ad titans will likely report another healthy quarter of sales growth
Wolfe Research analysts agree, writing in a note on Monday that their ad checks show a “resilient environment” that suggests “stability in Q2 despite macro concerns.” And they see a boost from the World Cup and upcoming midterm elections. As for threats posed by OpenAI, Wolfe’s analysts described those as “headline risks,” but said, “Google Search ad demand trends continue to imply at least stable trends.”
Meta reports results next week
— Jonathan Vanian
2 Hours Ago
Google’s recent AI talent exodus
FILE PHOTO: John Jumper, senior research scientist at Google DeepMind, at the Bloomberg Tech Summit in London, UK, on Tuesday, Oct. 22, 2024.
Hollie Adams | Bloomberg | Getty Images
Google’s earnings come on the heels of some major high-profile departures, as the battle for top artificial intelligence talent heats up
Gemini co-head Noam Shazeer announced in June that he was joining OpenAI, less than two years after returning through a partnership with his startup. Senior researcher scientist John Jumper left Google Deepmind for Anthropic last month
Technology companies have spent billions in recent months to lure top talent and acquire AI capabilities. The frontier labs, however, are starting to face a new reality, as businesses begin reining in token costs and seek out cheaper alternatives
Software companies have also fallen victim to the AI talent drain as frontier labs build out the enterprise layer
—Samantha Subin
2 Hours Ago
Anthropic funding set to boost Alphabet’s investment income
Dario Amodei, CEO and co-founder of Anthropic, speaks during the 56th annual World Economic Forum meeting in Davos, Switzerland, Jan. 20, 2026.
Denis Balibouse | Reuters
Investors will be paying attention to Alphabet’s investment income after a recent Anthropic funding round pushed up the value of Google’s holding in the model developer
In 2023, Google first bought a 10% stake in Anthropic. The search company announced plans to invest up to $40 billion more in April, having invested more than $3 billion in the startup already. By May, with Anthropic’s Claude Code gaining attention for its ability to quickly write application code, the company said investors had valued it at $965 billion. That was up from $380 billion as of February
Alphabet is also sitting on a stake in SpaceX, which went public in June, after first investing $900 million in the rocket maker in 2015. SpaceX shares have drifted down about 8% since the record-setting initial public offering
Three months ago, Google touted a $37 billion gain on equity securities
—Jordan Novet
3 Hours Ago
Google releases new Gemini models that are cheaper than frontier rivals
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Google is trying to keep up with OpenAI and Anthropic with its cutting-edge Gemini AI models, while also offering models at prices that recognize a more frugal approach to AI spending
On Tuesday, the company released three new Gemini models, including its clearest answer yet to Anthropic’s lead in cybersecurity. Gemini 3.5 Flash Cyber is designed to detect and patch software vulnerabilities and will initially be available only to governments and trusted partners through a limited-access pilot. Google said the specialized model runs at a lower price per token than larger models
With Gemini 3.6 Flash, Google aims to bolster its coding assistant technology while using up to 17% fewer tokens and offering a lower price per token than the previous model
The pricing war in AI is heating up as demand soars for open-Moonshot AI’s Kimi K3
— MacKenzie Sigalos
3 Hours Ago
Google stock headed for third straight losing month on AI concerns
Gemini AI signage during the Google I/O Developers Conference in Mountain View, California, US, on Tuesday, May 19, 2026.
David Paul Morris | Bloomberg | Getty Images
Google’s stock is on pace for a third straight month as the company heads into the second-quarter print on mounting AI skepticism
Shares are up 11% for the year but have dropped 1% in May, 6% in June and are pacing for a nearly 3% loss in July
That puts the company behind Apple and Nvidia for the year
Google’s stock drop comes as skepticism swirls over skyrocketing artificial intelligence spending and businesses pour billions into the infrastructure buildout
— Samantha Subin
4 Hours Ago
What about spending in 2027?
Signage at the Google Midlothian Data Center in Midlothian, Texas, US, on Friday, Nov. 14, 2025.
Jonathan Johnson | Bloomberg | Getty Images
Investors shouldn’t expect Alphabet’s epic spending spree to change course next year
Finance chief Anat Ashkenazi said in April that 2027 capex is likely to “significantly increase” from the up to $190 billion planned for this year
Evercore analysts wrote in a note over the weekend that “when the CFO warns about following year capex in the March Quarter, the plans are going to be aggressive.” The Evercore analysts then — jokingly — asked if the number could hit “$300B? $350B?!”
Ultimately, they settled on an estimate of $262 billion, and noted that they’re concerned “that capex spend could ramp higher than this.” The consensus estimate for Alphabet’s 2027 capex is about $257 billion
— Jonathan Vanian
4 Hours Ago
YouTube ad revenue growth set to slow as user base expands past 3 billion
Sopa Images | Lightrocket | Getty Images
Analysts expect YouTube’s advertising revenue growth to ease up as the video engine reaches greater scale
The unit should contribute $10.81 billion in revenue, which would imply roughly 10% growth from a year earlier, decelerating from 11% expansion in the first quarter
In May, at the I/O developer conference, Google said YouTube had reached 3 billion users, alongside the company’s search engine, Gmail, Chrome and Android. The milestone makes the site an increasingly compelling destination for advertisers
Meta had 3.56 billion “daily active people” across its apps in the first quarter
Evercore ISI analysts came away with a favorable assessment of YouTube’s stature following a June survey. In a note to clients on Sunday, they pointed to relatively attractive advertising costs and “linear TV leakage.”
—Jordan Novet
5 Hours Ago
Google’s cloud growth is outpacing rivals
The Google Cloud logo is displayed on a high-definition digital monolith at the entrance of the Google pavilion during the Mobile World Congress in Barcelona, Spain, on March 5, 2026.
Joan Cros | Nurphoto | Getty Images
Google is trailing Amazon and Microsoft in cloud computing, but it’s been growing faster
Second-quarter revenue in Alphabet’s Google Cloud unit, which includes infrastructure and Google Workspace productivity subscriptions, is expected to show 64% growth from a year earlier to $22.24 billion
That’s an acceleration from 63% expansion in the first quarter, which topped market leader Amazon Web Services’ 28% growth. At Microsoft, revenue from Azure and other cloud services increased 40%
Large companies are running more apps on Google’s cloud, incorporating the company’s AI models, CEO Sundar Pichai said on the last earnings call in April. Additionally, the Gemini Enterprise assistant for corporate workers, which starts at $21 per person per month, is gaining traction, he said
Demand for Google’s tensor processing units, or TPUs, is also ramping at AI labs. In April, Google touted a cloud TPU for training AI models and one that handles inference jobs
The $29.5 billion acquisition earlier this year of cloud security company Wiz is also boosting cloud growth. Google is seeing so much demand that it inked a deal in June with Elon Musk’s SpaceX, agreeing to pay $920 million a month for AI compute capacity
— Jordan Novet
5 Hours Ago
Wall Street is focused on AI spending
A general view of the Google Midlothian Data Center on Nov. 14, 2025 in Midlothian, Texas.
Ron Jenkins | Getty Images
Alphabet and its hyperscaler peers are spending boatloads of money onmassive data center and related computing projects, and investors are paying close attention
That puts a particular focus on Alphabet’s capital expenditures, or capex, which has been skyrocketing in recent quarters. In April, the company raised its2026 capex guidance to between $180 billion and $190 billion, up from $175 billion to $185 billion
The consensus estimate for Alphabet’s 2026 capex is $187.1 billion Amazon is the only one expected to spend more, with analysts projecting capex of $200 billion, in line with the company’s forecast
— Jonathan Vanian
