Alphabet released its Q4 2024 earnings on February 4, 2025. Here's a summary of the key highlights:
Financial Performance:
* Revenue: Consolidated Alphabet revenues in Q4 2024 increased 12% year over year to $96.5 billion. This reflects strong momentum across the business.
* Google Services Revenue: Increased 10% to $84.1 billion, driven by strong performance in Google Search & other and YouTube ads.
* Google Cloud Revenue: Increased 30% to $12.0 billion, led by growth in Google Cloud Platform (GCP) across core GCP products, AI Infrastructure, and Generative AI Solutions.
* Operating Income: Total operating income increased 31%, and the operating margin expanded by 5 percentage points to 32%.
* Net Income: Increased 28%, and EPS increased 31% to $2.15.
Key Highlights:
* AI Leadership: CEO Sundar Pichai emphasized Alphabet's leadership in AI and the momentum across the business. He highlighted the company's efforts in building, testing, and launching products and models faster than ever, along with significant progress in compute and driving efficiencies.
* YouTube and Cloud Growth: YouTube and Cloud revenues combined ended the year at a $110 billion annual run rate, exceeding the initial goal of over $100 billion.
* Strong Cash Flow: The company delivered free cash flow of $24.8 billion in the fourth quarter and $72.8 billion for the full year 2024.
Overall:
Alphabet's Q4 2024 earnings demonstrate a strong performance with growth across key areas like Search, YouTube, and Cloud. The company's focus on AI and its continued investments in this area seem to be paying off.
Revenue only missed slightly and concerns over capex spending but overall company did well.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
