Alphabet crushes earnings – Search and Cloud going strong

For Q2 2023 :

• Revenue hit $74.6 billion, up a solid 7% year-over-year.

• Net income came in at $18.4 billion, up 15%.

• EPS was $1.44, up 19%.

The core search advertising business chugged along nicely with Search revenue up 5%. YouTube ads grew 4% showing YouTube's dominance in digital video.

But the real star was Google Cloud – revenue there jumped 28% to over $8 billion! Cloud is now on a $32 billion revenue run rate and moved into the black with $395 million in operating income this quarter.

Between search, YouTube, and cloud, Alphabet has three massive cash cows spurting profits. Cloud could really close the gap on AWS and Azure too.

Oh and operating margins hit 29% – not too shabby for a tech giant.

So all in all, a super strong quarter for Alphabet. Their core businesses are executing well and cloud is booming. The stock is up 3% after-hours on the report.

What do you think of Alphabet's quarter?