Alphabet, the parent company of Google, will declare its second-quarter earnings upon the conclusion of ordinary trading. Over the course of the quarter, the giant corporation in tech advanced a variety of AI implementations. Moreover, Alphabet has kept up its endeavors to reduce expenditure.
Alphabet is set to report second-quarter earnings after regular trading concludes on Tuesday. Analysts expect earnings of $1.34 per share (adjusted) and revenue of $72.82 billion, according to Refinitiv. StreetAccount further predicts Google Cloud revenue of $7.87 billion; YouTube ad revenue of $7.43 billion; and traffic acquisition costs of $12.37 billion. Â For the fourth consecutive quarter, Google's parent company is predicted to show single-digit revenue growth as it grapples with a pullback in digital ad spending brought on by economic worries. Cost savings enacted at the start of the year, which included Google staff layoffs, are anticipated to persist though at a decreased rate. Â AI featured prominently in the quarter, with Google introducing Search Generative Experience (SGE), a generative AI-driven search service which has yet to make a public debut. Additionally, the company merged Google Brain and DeepMind, and partnered with Character AI, a startup established by former Google workers focusing on AI chatbot production. An update to its ChatGPT competitor Bard, including audio responses, was released. Â With respect to the cloud, revenue is expected to grow 25%, which mirrors the forecasted increase for Microsoft Azure when its financials come out on the same day. Â The call with analysts to review the quarterly results starts at 5 p.m. ET. This comes as Google pushes for a more regular return to offices, while CEO Sundar Pichai's pay grew to a reported $226 million last year, primarily from stock awards. Alphabet stocks have gained 38% this year, surpassing the S&P 500's 19% increase.
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