Alphabet shares slide despite earnings beat
ALPHABET-A
$158.26
13:09 23/04/24
Shares in Google parent company Alphabet slid in extended trading despite topping fourth-quarter earnings estimates.
Nasdaq 100
17,471.47
12:15 23/04/24
Alphabet turned in earnings of $15.35 per share for the three months ended 31 December, ahead of the £12.53 expected by analysts on the Street. Revenues came in just short of estimates of $46.94bn at $46.08bn.
YouTube ads brought in $15.15bn for the company in 2019, with $4.72bn in the fourth quarter alone, while Google's cloud business generated $8.92bn in revenues during in 2019, with $2.61bn of that coming in the fourth quarter.
Advertising revenues reached $37.93bn in the quarter, well ahead of the $32.63bn brought in a year earlier and "other revenue", which includes hardware like Pixel phones and cloud products, came in at $5.26bn - down from the $6.48bn pulled in last year.
Numbers aside, Alphabet also had a particularly eventful quarter - hitting a major financial milestone earlier in the month when it hit $1trn in market capitalisation, joining the likes of Apple, Amazon and Microsoft as the only US companies to have reached that threshold.
Monday's figures also marked the first earnings update since Sundar Pichai took over as chief executive from co-founder Larry Page.
As of 2140 GMT, Alphabet shares were down 4.15% in after-hours trading at $1,421 each.