Internet Google quarterly figures disappoint stock market - Profitable advertising business
The Google Group Alphabet has disappointed the stock market with its figures for the past quarter. In an initial reaction, the share price fell by more than six percent in after-hours trading.
04.02.2025, 23:00
SDA
Despite an increase of 30 percent to 11.95 billion dollars, Google's cloud business brought in slightly less than analysts had expected. On average, they had expected revenues of around 12.2 billion dollars.
Group turnover also fell short of market expectations with an increase of twelve percent to 96.47 billion dollars. Meanwhile, profits rose by a good 28 percent year-on-year to 26.54 billion dollars.
Google's advertising business continues to generate the majority of Alphabet's revenues. It grew by 10.6 percent to 72.46 billion dollars. The video platform YouTube brought in just under 10.5 billion of this - around 14 percent more than a year ago.
The development of Google's advertising business is being monitored very closely. A key question is whether attempts by competitors to use artificial intelligence to display direct answers instead of links will leave a mark on Google's search engine.
