Google reported earnings and their ad revenue is up again year-over-year, with an increase of 8.5%, and overall revenue is also up 12%. I should note, it is down from Q4 because Q4 is always Google's best performing quarter, which is why you don't really compare the it to the last quarter, but rather the same quarter from a year ago.
Alphabet reports Q1 revenue up 12% year-over-year to $90.2 billion, ad revenue was 66.9B, net income up 46% year-over-year to $34.54 billion, Services revenue up 10% to $77.3 billion, and Other Bets revenue down 9% to $450 million.
If you want to compare Q1 2025 to Q4 2024, you will see ad revenue was down 7.7%, overall revenue was down 6.5% and profit was only down by 1.2%.
I should note, Google's Sundar Pichai said, "AI Overviews in Search is now serving 1.5B+ users monthly and keeps getting better and we’re pleased with the positive early reaction to AI Mode, lots more to come."
Wall Street is happy, the stock after hours is up almost 5% or so because Google beat expectations across most areas. There is more coverage on Techmeme with some good roundups. The earnings call is going now over here and Pichai's remarks here.
Sundar Pichai, CEO, said: “We’re pleased with our strong Q1 results, which reflect healthy growth and momentum across the business. Underpinning this growth is our unique full stack approach to AI. This quarter was super exciting as we rolled out Gemini 2.5, our most intelligent AI model, which is achieving breakthroughs in performance and is an extraordinary foundation for our future innovation. Search saw continued strong growth, boosted by the engagement we’re seeing with features like AI Overviews, which now has 1.5 billion users per month. Driven by YouTube and Google One, we surpassed 270 million paid subscriptions. And Cloud grew rapidly with significant demand for our solutions.”
Here is a chart plotting Google's overall revenue, then ad revenue and then profit over the past several quarters:
Here is the snippet from the earnings report:
Here is what Sundar Pichai, Google's CEO, posted on X:
2/ Our differentiated, full stack approach to AI continues to be central to our growth.
— Sundar Pichai (@sundarpichai) April 24, 2025
Gemini 2.5, our most intelligent model yet, is providing an extraordinary foundation for our future innovation. Active users in AI Studio and the Gemini API have grown over 200% since the…
4/ Our AI leadership was on display at @GoogleCloud Next, where we launched Ironwood, our most powerful TPU yet — 10X compute boost, optimized for inference at scale. And we’re first to bring NVIDIA’s next-gen Blackwell GPUs to customers.
— Sundar Pichai (@sundarpichai) April 24, 2025
Now with tools for building multi-agent…
6/ Lastly - Waymo is now delivering 250K+ paid rides every week - up 5X from a year ago.
— Sundar Pichai (@sundarpichai) April 24, 2025
A huge thank you to all our teams across Google and Alphabet for a great Q1. More to come in Q2 - I/O, Brandcast, Google Marketing Live, and lots to 🚢 We can’t wait to show you what’s…
Forum discussion at X.
