Jan 31, 2024 10:55:00

Google's parent company Alphabet announces financial results for the fourth quarter of 2023, with revenue of $86.31 billion, up 13% year-on-year, but advertising revenue is lower than analysts expected

by

Yuri Samoilov

Alphabet, Google's parent company, has reported its financial results for the fourth quarter of 2023 (October to December) and the full year of 2023. Revenue for the fourth quarter of 2023 was $86.31 billion (approximately 12.73 trillion yen), an increase of approximately 13% compared to the same period last year, but advertising revenue was lower than market analysts expected. That's it.

2023q4-alphabet-earnings-release.pdf
https://abc.xyz/assets/95/eb/9cef90184e09bac553796896c633/2023q4-alphabet-earnings-release.pdf

Alphabet (GOOGL) Q4 earnings report 2023
https://www.cnbc.com/2024/01/30/alphabet-googl-q4-earnings-report-2023.html

Alphabet Earnings: Google Parent's Stock Price Drops by 4% Despite Sales Rebound - WSJ
https://www.wsj.com/tech/alphabet-google-goog-q4-earnings-report-2023-4c0090f1

Revenue for the fourth quarter of 2023 was $86.31 billion, an increase of approximately 13.5% from the same period last year. Operating income was $23,697 million (approximately 3,490 billion yen), an increase of approximately 30.5% compared to the same period last year, and net income was $20,687 million (approximately 3,500 billion yen), an increase of 51.8% compared to the same period last year. was. Earnings per share are $1.64 (approximately 242 yen).

In addition, revenue for the full year of 2023 will be $307.394 billion (approximately 45.34 trillion yen), an increase of approximately 8.7% from the previous year. Operating income was $84.293 billion (approximately 12.43 trillion yen), an increase of approximately 12.6% from the previous year, and net income was $73.795 billion (approximately 10.89 trillion yen), an increase of approximately 23.0% from the previous year. did. Earnings per share are $5.8 (approximately 855 yen).

The breakdown of revenue for the fourth quarter of 2023 is Google Ads at $65.517 billion (approximately 9.66 trillion yen), Subscription Platforms and Devices at $10.794 billion (approximately 1.59 trillion yen), Google Cloud was worth 9.192 billion dollars (approximately 1.36 trillion yen), and others were 807 million dollars (approximately 119 billion yen). Furthermore, regarding Google advertising, Google search etc. is worth 48,002 million dollars (approx. 7,080 billion yen), YouTube advertising is 9,200 million dollars (approx. 1,360 billion yen), and Google Network is 8,297 million dollars (approx. 1.22 trillion yen).

Ruth Porat, Alphabet's president, chief financial officer and chief investment officer, said: ``The fourth quarter of 2023 was very strong, with revenue up 13% year-over-year.'' 86 billion. We will continue to invest to support growth opportunities while working to rebuild our cost base.' In addition, Alphabet's next-generation technology development company '

X ' has announced that it will launch more startups with the support of external investors.

'We continue to do well in search and are pleased with the increased contributions from YouTube and Google Cloud, each of which has benefited from our AI investments and innovations,' said Alphabet CEO Sundar Pichai. This era is still a long way off,' he said.

by Nguyen Hung Vu

In after-hours trading immediately after Alphabet released its earnings report, Alphabet's stock price fell about 5%. Economic media CNBC said, ``Results generally exceeded expectations, but were not enough to satisfy investors.'' According to CNBC, advertising revenue of $65.517 billion was slightly lower than the market estimate of $65.94 billion (approximately 9.72 trillion yen). CNBC noted that ad revenue growth on YouTube is slowing as the ad businesses of competing services such as Facebook and TikTok are rapidly gaining success.

The Wall Street Journal, an American economic newspaper, said, ``While Google's financial results fell short of analysts' expectations, it was a notable turnaround from 2022, when it reported a decline in advertising revenue for the first time since the coronavirus pandemic.'' I rate it as such.