Alphabet Inc Class C
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +0.25%.
Did GOOG Beat Earnings? Q3 2025 Results
Alphabet closed Q3 2025 with a landmark quarter, becoming the first company in its history to cross $100 billion in quarterly revenue as it reported $102.35 billion in sales — up 15.9% year over year and ahead of the $100.14 billion consensus — while earnings per share of $2.87 cleared the $2.27 analyst estimate by 26.70%, a result that had <a href="https://247wallst.com/investing/2025/10/29/live-alphabet-googl-up-2-before-earnings-will-shares-soar-after-hours/">investors watching closely</a> heading into the print. The primary engine behind the headline beat was Google Cloud, which accelerated to 34% revenue growth, reaching $15.16 billion for the quarter and nearly doubling its operating income to $3.59 billion, while YouTube ads crossed $10 billion in a single quarter for the first time. Net income surged 33% to $34.98 billion, aided by $10.73 billion in equity securities gains. Looking ahead, Alphabet raised its full-year capital expenditure guidance to a range of $91 billion to $93 billion, signaling deepening commitment to AI infrastructure as Google Cloud closed the quarter with $155 billion in backlog.
- Double-digit growth across Google Search & other, YouTube ads, Google subscriptions/platforms/devices, and Google Cloud
- Google Cloud accelerated to 34% revenue growth driven by GCP core products, AI Infrastructure, and Generative AI Solutions
- Google Cloud backlog reached $155 billion
- Over 300 million paid subscriptions led by Google One and YouTube Premium
- Net unrealized gains on non-marketable equity securities of $10.7 billion boosted other income
- U.S. tax law changes allowing immediate expensing of domestic R&E costs benefited operating cash flows
“Alphabet had a terrific quarter, with double-digit growth across every major part of our business. We delivered our first-ever $100 billion quarter.”
Google CEO, on the earnings call
Forward Guidance & Outlook
Alphabet raised its 2025 capital expenditure guidance to a range of $91 billion to $93 billion, driven by growth across the business and demand from Cloud customers. The company emphasized investing to meet customer demand and capitalize on growing opportunities. Google Cloud ended the quarter with $155 billion in backlog, signaling strong future demand. Management highlighted continued momentum in AI with the global rollout of AI Overviews and AI Mode in Search, and the Gemini ecosystem's rapid scaling.
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Figures from SEC filings and company reports. Not investment advice.