Alphabet Inc. (NASDAQ: GOOGL) reported second quarter financial results after markets closed Monday. The tech giant said that it had $5.01 in earnings per share (EPS) and $26.01 billion in revenue, compared with consensus estimates from Thomson Reuters that called for $4.46 in EPS and $25.64 billion in revenue. The same period from last year had $7.00 in EPS and $21.5 billion in revenue.
During the quarter, Traffic acquisition costs (TAC) to Google Network Members totaled $3.04 billion and TAC to distribution partners was $2.05 billion, making total TAC $5.09 billion.
Aggregate paid clicks increased 52% for this quarter, compared to last year, although this was only an increase of 12% sequentially. Aggregate cost-per-click fell 23% from last year and by 6% sequentially.
In terms of its business segments, Alphabet reported:
- Google Properties revenues totaled $18.425 billion.
- Google Network Members’ properties revenues were $4.25 billion.
- Google Other Revenues totaled $3.09 billion.
- Other Bets revenues were $248 million.
On the books, cash, cash equivalents, and marketable securities totaled $94.71 billion at the end of the quarter, versus $86.33 billion at the end of the previous fiscal year.
The company did not offer any guidance for the full year or coming quarter, but consensus estimates for the third quarter are forecasting $8.45 in EPS and $26.77 billion in revenue.
Ruth Porat, CFO of Alphabet, commented:
With revenues of $26 billion, up 21% versus the second quarter of 2016 and 23% on a constant currency basis, we’re delivering strong growth with great underlying momentum, while continuing to make focused investments in new revenue streams.
Shares of Alphabet closed recently at $998.31, with a consensus analyst price target of $1,065.88 and a 52-week range of $743.59 to $1,008.61. Following the release of the earnings report, the stock was down 2.2% at $976.38 in the after-hours trading session.