Alphabet today announced Q2 2020 earnings with $38.3 billion in revenue. These numbers range from April to June, and includes the impact of COVID-19.
Revenue is down 2% — a first — from $38.94 billion in Q2 2019, with operating income at $6.38 billion and net income of $6.96 billion for this quarter. For comparison, Alphabet reported $41.16 billion in revenue and $6.84 billion in net income last quarter. Beating analyst expectations, the stock is up in after-hours trading.
“We’re working to help people, businesses and communities in these uncertain times,” said Sundar Pichai, Chief Executive Officer of Google and Alphabet. “As people increasingly turn to online services, our platforms — from Cloud to Google Play to YouTube — are helping our partners provide important services and support their businesses.”
“In the second quarter our total revenues were $38.3B, driven by gradual improvement in our ads business and strong growth in Google Cloud and Other Revenues,” said Ruth Porat, Chief Financial Officer of Alphabet and Google. “We continue to navigate through a difficult global economic environment.”
YouTube ad revenue was $3.81 billion, while Cloud reported $3 billion in Q2 2020.
“Google other revenues” — which includes hardware, Play Store, and non-advertising YouTube revenues — reported $5.12 billion, compared to $4.08 billion the same quarter last year (now excluding Cloud).
“I want to note that our hardware team continues to make good progress,” said Pichai. “And I’m excited by the new upcoming devices we have coming this fall.”
The closely-watched “Other Bets” continues to lose money. It reported $148 million revenue primarily generated by Verily and Fiber from $135 million last quarter. However, it lost $1.12 billion compared to $989 million in Q2 2019.
As usual, Alphabet will hold its Q2 2020 earnings call with investors and members of the press to further break down numbers from the earnings release. You can follow along via the livestream below and we’ll have coverage of any notable tidbits the company reveals.
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