Alphabet Reports Strong Q1 Earnings

Alphabet beat Wall Street expectations and posted robust first-quarter results after the market closed Wednesday, driven by continued strength in artificial intelligence and cloud services.

Revenue rose 22% year-over-year (19% in constant currency) to $109.9 billion, marking the company’s 11th straight quarter of double-digit growth. Google Services revenue climbed 16% to $89.6 billion, led by a 19% increase in Google Search, a 19% jump in subscriptions, platforms and devices, and an 11% rise in YouTube advertising.

The company now has more than 350 million paid subscriptions across YouTube and Google One. It delivered its strongest-ever quarter for consumer AI products, powered by rapid adoption of the Gemini app. 

YouTube Music and Premium also posted their largest quarterly gain in non-trial subscribers both globally and in the U.S. YouTube Premium finished the quarter fully launched in 23 countries and plans to enter a dozen more in Q2.

Alphabet has now beaten earnings estimates for 10 consecutive quarters. Over the past year, its stock has surged more than 114%, largely on the back of AI and cloud momentum.