Alphabet Q3 Results Trounce Street View

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Alphabet Inc. (GOOG,GOOGL), the parent company of Google, Tuesday reported its third-quarter results, with both profit and revenues trumping Wall Street estimates, reflecting increased ad spending and cloud revenues.

Alphabet reported third-quarter profit of $18.94 billion or $27.99 per share, a jump from last year's profit of $11.25 billion or $16.40 per share. On average, 27 analysts polled by Thomson Reuters estimated earnings of $23.47 per share for the quarter. Analysts' estimates typically exclude one-time items.

Revenues for the quarter surged 41 percent to $65.12 billion from $46.17 billion last year. Analysts had a consensus revenue estimate of $63.45 billion for the quarter.

Google advertising revenues surged to $53.13 billion from $37.10 billion last year, as YouTube ad and Google Search revenues also increased. Google cloud revenues rose to $4.99 billion from $3.44 billion last year.

Commenting on the results, CEO Sundar Pichai said, "Five years ago, I laid out our vision to become an AI-first company. This quarter's results show how our investments there are enabling us to build more helpful products for people and our partners. Ongoing improvements to Search, and the new Pixel 6, are great examples. And as the digital transformation and shift to hybrid work continue, our Cloud services are helping organizations collaborate and stay secure."

GOOG closed Tuesday's trading at $2,793.44, up $17.98 or 0.65%, on the Nasdaq. The stock, however, slipped $7.44 or 0.27% on the Nasdaq.

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