Alphabet today announced Q3 2020 earnings with $46.2 billion in revenue. These numbers range from July to September, and includes the continuing impact of COVID-19.
Revenue is up 14% from $40.5 billion in Q3 2019, with operating income at $11.2 billion and net income also at $11.2 billion for this quarter. For comparison, Alphabet reported $38.3B billion in revenue and $6.96 billion in net income last quarter. The stock is up around 9% in after-hours trading.
“We had a strong quarter, consistent with the broader online environment,” said Sundar Pichai, Chief Executive Officer of Alphabet and Google. “It’s also a testament to the deep investments we’ve made in AI and other technologies, to deliver services that people turn to for help, in moments big and small.”
“Total revenues of $46.2 billion in the third quarter reflect broad based growth led by an increase in advertiser spend in Search and YouTube as well as continued strength in Google Cloud and Play,” said Ruth Porat, Chief Financial Officer of Alphabet and Google. “We remain focused on making the right investments to support long term sustainable value.”
YouTube ad revenue was $5.04 billion, while Cloud reported $3.44 billion in Q3 2020.
“Google other revenues” — which includes hardware, Play Store, and non-advertising YouTube revenues — reported $5.48 billion, compared to $4.05 billion the same quarter last year (now excluding Cloud).
The closely-watched “Other Bets” continues to lose money. It reported $178 million revenue primarily generated by Verily and Fiber from $148 million last quarter. However, it lost $1.10 billion compared to $941 million in Q3 2019.
As usual, Alphabet will hold its Q3 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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