Alphabet has released its financial results for the first quarter ended March 31, 2026.
Total revenue reached $109.9 billion, marking a 22% year-over-year increase, or 19% growth on a constant currency basis. This represents the 11th consecutive quarter of double-digit revenue growth.
Google Services revenue amounted to $89.6 billion, a 16% increase compared to the prior year period. This segment includes: - Google Search and other revenue, which grew 19% year-over-year. - Google subscriptions, platforms, and devices revenue, which also increased 19%. - YouTube advertising revenue, which rose 11%.
Google Cloud revenue was $20.0 billion, surging 63% year-over-year. This strong growth was primarily driven by performance in Google Cloud Platform (GCP), including enterprise AI solutions, enterprise AI infrastructure, and core GCP services.
Total operating profit was $39.7 billion, a 30% increase from the first quarter of 2025. The operating profit margin expanded by 2 percentage points to 36.1%.
Net income from other investments totaled $37.7 billion, primarily due to unrealized gains on marketable equity securities.
Net profit reached $62.6 billion, reflecting an 81% year-over-year increase.
Diluted earnings per share were $5.11, an 82% rise compared to the same period last year.
The company announced a 5% increase in its quarterly cash dividend, now set at $0.22 per share.
Sundar Pichai, CEO of Alphabet and Google, stated: "2026 is off to a tremendous start. Our AI investments and full-stack approach are energizing every part of our business. Search had a strong quarter, with AI experiences driving record usage and query volume, resulting in 19% revenue growth. Google Cloud revenue grew 63%, with backlog nearly doubling sequentially to over $460 billion. This was the strongest quarter ever for our consumer AI initiatives, with the Gemini App as a key driver. Total paid subscriptions have reached 350 million, primarily driven by YouTube and Google One. Gemini Enterprise is gaining momentum, with paid monthly active users growing 40% quarter-over-quarter. Waymo now completes over 500,000 fully autonomous trips weekly."
**First Quarter Financial Highlights (Unaudited)**
| Metric | Q1 2025 | Q1 2026 | YoY Change | | :--- | :--- | :--- | :--- | | Revenue ($ billions) | 902.34 | 1098.96 | +22% | | Constant Currency Revenue Growth | - | - | +19% | | Operating Profit ($ billions) | 306.06 | 396.96 | +30% | | Operating Margin | 34% | 36% | +2 ppt | | Net Income from Other Investments ($ billions) | 111.83 | 377.16 | - | | Net Profit ($ billions) | 345.40 | 625.78 | +81% | | Diluted EPS ($) | 2.81 | 5.11 | +82% |
**Supplemental Information (Unaudited, $ billions)**
| Item | Q1 2025 | Q1 2026 | | :--- | :--- | :--- | | Google Search & other | 507.02 | 603.99 | | YouTube Ads | 89.27 | 98.83 | | Google Network | 72.56 | 69.71 | | **Total Google Advertising** | **668.85** | **772.53** | | Google Subscriptions, Platforms & Devices | 103.79 | 123.84 | | **Total Google Services** | **772.64** | **896.37** | | Google Cloud | 122.60 | 200.28 | | Other Bets | 4.50 | 4.11 | | Hedging Gains/(Losses) | 2.60 | (1.80) | | **Total Revenue** | **902.34** | **1098.96** | | Total Traffic Acquisition Costs (TAC) | 137.48 | 152.28 | | Number of Employees | 185,719 | 194,668 |
**Segment Operating Profit (Unaudited, $ billions)**
| Segment | Q1 2025 | Q1 2026 | | :--- | :--- | :--- | | Google Services | 326.82 | 405.89 | | Google Cloud | 21.77 | 65.98 | | Other Bets | (12.26) | (21.00) | | Alphabet-level Activities* | (30.27) | (53.91) | | **Total Operating Profit** | **306.06** | **396.96** |
*Alphabet-level activities primarily reflect shared AI research and development expenses.
**Other Financial Information:** - During the first quarter of 2026, the company issued senior unsecured notes, with net proceeds of $31.1 billion intended for general corporate purposes. - On April 27, 2026, the Board of Directors declared a quarterly cash dividend of $0.22 per share, a 5% increase from the previous quarter's $0.21 per share. The dividend is payable on June 15, 2026.
**Non-GAAP Metrics:** The company provides non-GAAP metrics such as constant currency revenue and free cash flow. For Q1 2026, constant currency revenue was $107.1 billion, representing 19% year-over-year growth. Free cash flow was $10.1 billion (Trailing Twelve Months: $64.4 billion).
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