Google's parent company, Alphabet Inc., increased its net profit fourfold in the second quarter of the 2026 financial year (April–June), while revenue grew by 24%.
The company's net profit amounted to $112.107 billion, or $9.11 per share, compared to $28.196 billion, or $2.31 per share, a year earlier. This figure includes a net profit from investments in equity instruments amounting to $99 billion, most of which remains unrealized.
Alphabet's revenue grew to $119.796 billion from $96.428 billion a year ago. Excluding the impact of currency exchange rates, revenue growth was 23%. Analysts surveyed by FactSet had forecast an average profit of $2.88 per share and revenue of $117.06 billion.
In the reporting quarter, Google's advertising revenues increased by 14%, reaching $81.63 billion. Of this, revenue from search engine advertising amounted to $63.17 billion (up 17%), while YouTube's advertising revenue was $11.06 billion (up 13%). Meanwhile, Google Cloud's revenue grew by 82% to $24.77 billion.
At the same time, the holding's free cash flow turned negative, amounting to -$5.86 billion, whereas in the previous quarter it was +$10.12 billion. Additionally, the company unexpectedly raised its capital expenditure forecast for 2026 from $180–190 billion to $195–205 billion.
Following the release of the financial report, Alphabet's market capitalization fell by 3.3% in after-hours trading.
