What you should know
- Google’s advertising revenue saw a significant increase in the first quarter of 2024, with Google Search revenue up 14.4% to $46.2 billion, YouTube ad revenue up 21% to $8.09 billion, and total advertising revenue reaching $61.7 billion, a 13% rise from the previous year.
- Revenue from Google subscriptions, platforms, and devices, which includes Pixel devices, grew by 17.9% to $8.74 billion, contributing to an overall Google Services revenue of $70.4 billion, up 13.6% year-over-year.
- Google Cloud demonstrated a strong performance with a 28.4% annual increase in revenue, amounting to $9.57 billion in the first three months of the year.
- Despite increasing traffic acquisition costs by 10.5% to $13 billion, Google’s overall first-quarter revenue rose to $80.5 billion, a 15.4% increase, with net income surging 46.3% to $25.5 billion, leading to a first-time cash dividend announcement of 20 cents per share.
Full Story
Google’s ad game? Stronger than ever in the first slice of 2024. Picture this: Google Search ad bucks jumped a hefty 14.4%, hitting $46.2 billion. And YouTube? That streaming giant wasn’t playing around either, with a 21% surge to $8.09 billion. In total, Google’s ad revenue vaulted to $61.7 billion, up 13% from the previous year’s $54.5 billion.
But wait, there’s more. Those Google gadgets and subscriptions? They didn’t just sit pretty. Revenue soared 17.9% to $8.74 billion. Tally it all up, and Google Services raked in $70.4 billion, marking a 13.6% climb year-over-year. And let’s not breeze past Google Cloud, which boasted a robust 28.4% revenue spike to $9.57 billion in just three months.
Now, onto a bit of a sore spot. Traffic acquisition costs. Google’s not too thrilled here, seeing a 10.5% jump to $13 billion. More cash out the door to draw eyes to their sites. And the workforce? It shrunk by 5.1%, from 190,711 to 180,895 souls.
Switching gears to the broader picture, Google’s overall first-quarter revenue? A cool $80.5 billion, up from last year’s $69.8 billion. That’s a solid 15.4% hike. And income? Oh, it soared from $17.4 billion to $25.5 billion, a stunning 46.3% leap year-over-year. Earnings per share? They skyrocketed 62%, from $1.17 to $1.89.
In a surprising twist, Alphabet announced its first-ever cash dividend. 20 cents per share, payable on June 17, 2024, to those on record by June 10. All Class A, B, and C shareholders, get ready for that quarterly bonus.
Sundar Pichai, the big boss at Alphabet and Google, couldn’t hide his excitement. “Our first quarter? A showcase of strong performances across Search, YouTube, and Cloud. We’re knee-deep in our Gemini era, riding high on momentum. With our AI prowess and global presence, we’re all set for the next AI wave.”
After the bell rang, Alphabet’s shares took a minor hit, dropping $3.15 to $157.95. But then, in a dramatic turn, they leapt $19.13 in after-hours trading, hitting $177.08. Talk about a rollercoaster day for Alphabet investors.
