Google parent Alphabet reported a strong third quarter as its top line grew following an increase in advertiser spend, which CEO Sundar Pichai explained was consistent with the broader online environment.
In a statement, Alphabet reported revenue of $46.2 billion, a 14 per cent increase year-on-year, while net income grew to $11.2 billion, from $7 billion.
Pichai said the growth was a testament to the “deep investments” it had made in AI and other technologies to “deliver services that people turn to for help, in moments big and small”.
CFO Ruth Porat added the revenue increase reflected broad growth led by advertiser spend in Search and YouTube, as well as continued strength in Google Cloud and Play.
In total, its advertising division generated revenue of $37.1 billion, up from $34 billion in Q3 2019.
Revenue from Google Search totalled $26.3 billion, with YouTube ads reaping $5 billion. Google Cloud contributed $3.4 billion and its “other” segment, which includes hardware; cloud services; and its Play Store, generated $5.5 billion.
Its other bets division, including Waymo, had revenue of $178 million.
On an earnings call, Pichai and Porat focused on YouTube’s success. In total, the platform has more than 30 million music and premium paid subscribers, while YouTube TV has more than 3 million.
Porat said growth in viewing time on YouTube “enables advertisers to reach audiences they can’t reach on TV”.Subscribe to our daily newsletter Back