When Alphabet Inc. (NASDAQ: GOOGL) released its third-quarter financial results after the markets closed on Monday, the tech giant said that it had $10.12 in earnings per share (EPS) and $40.50 billion in revenue. That compared with consensus estimates of $12.42 in EPS and $40.32 billion in revenue, as well as the $13.06 per share and $33.74 billion reported in the same period of last year.

The Google segment posted third-quarter revenues of $40.34 billion, up from $33.59 billion a year ago. Operating income rose from $9.49 billion to $10.87 billion. The operating loss on Other Bets totaled $941 million, up from $727 million in the year-ago quarter.

In the third quarter, year-over-year traffic acquisition costs paid to Google Network members fell by about one percentage point to 69% of Network revenues, or $3.63 billion. Payments to distribution partners totaled $3.86 billion, about 13% of websites revenues. Total traffic acquisition costs rose from $6.58 billion to $7.49 billion.

Paid clicks on Google websites increased 18% year over year and were up 1% sequentially. Aggregate cost per click fell 2% compared with the year-ago quarter and was up 3% sequentially.

Alphabet did not offer any guidance in the report. However, the consensus estimates call for $12.99 in EPS and $46.96 billion in revenue for the fourth quarter.

Shares of Alphabet closed Monday at $1,288.98, in a 52-week range of $977.66 to $1,299.24. The consensus price target is $1,426.90. Following the announcement, the stock was initially down about 2% at $1,258.58 in the after-hours trading session.

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