July 22, 2026 ·7 min
Alphabet's Q2-2026
The 294% GAAP EPS jump is an accounting smokescreen — the real story is Cloud, capex, and the funding gap.
Contents 4 sections
Today’s Release
The 294% GAAP EPS “growth” and the $112B net income are an accounting smokescreen. Other income carried a $99B gain on equity securities (mostly unrealized). By Alphabet’s own footnote, it was worth +$6.26 of the $9.11 diluted EPS.
| Metric ($MM unless stated) | Q2 2025 | Q2 2026 | $ Change | YoY % |
|---|---|---|---|---|
| Google Search & other | 54,190 | 63,271 | +9,081 | +16.8% |
| YouTube ads | 9,796 | 11,055 | +1,259 | +12.9% |
| Google Network | 7,354 | 7,303 | −51 | −0.7% |
| Google advertising | 71,340 | 81,629 | +10,289 | +14.4% |
| Google subscriptions, platforms & devices | 11,203 | 12,911 | +1,708 | +15.2% |
| Google Services total | 82,543 | 94,540 | +11,997 | +14.5% |
| Google Cloud | 13,624 | 24,768 | +11,144 | +81.8% |
| Other Bets | 373 | 382 | +9 | +2.4% |
| Hedging gains (losses) | -112 | 106 | +218 | NM |
| Total revenues | 96,428 | 119,796 | +23,368 | +24.2% |
| Total TAC (traffic acquisition cost) | 14,705 | 16,179 | +1,474 | +10.0% |
| Number of employees | 187,103 | 198,933 | +11,830 | +6.3% |
Cloud revenues were up +82% YoY to $24.8B. The segment’s operating income more than tripled to $8.8B, with operating margin expanding from 20.7% to 35.6% YoY.
There will be short-term cloud margin headwinds. To serve demand while supply-constrained, they’ll rent third-party capacity in Q3 as a “bridge,” which CFO Ashkenazi said will pressure cloud margins, on top of a Wiz-integration headwind in 2026.
Search revenue continues to grow (+16.8% YoY). But I believe a very substantial portion of this is price increases.
Customers will continue to find usefulness in Search’s latency. This was proven during the World Cup, where customers want live scores ASAP. As per Google SVP Nick Fox on July 8th 2026: “Google Search broke all prior usage records and saw its highest usage in history after Argentina scored their winning goal in yesterday’s match!”.
Subscriptions growth topline is not as strong as I’d like. Google shared it had 350MM paid subscriptions across its services (including Google AI, Youtube). The Gemini app is touted to have reached 950MM users (up from 900MM in May-2026, and 400MM in May-2025).
Reported operating results are:
| Operating income (loss) ($MM) | Q2 2025 | Q2 2026 | $ Change | YoY % |
|---|---|---|---|---|
| Google Services | 33,063 | 39,544 | +6,481 | +19.6% |
| Google Cloud | 2,826 | 8,814 | +5,988 | +211.9% |
| Other Bets | -1,246 | -1,799 | −553 | NM (loss widened ~44%) |
| Alphabet-level activities | -3,372 | -5,789 | −2,417 | NM (loss widened ~72%) |
| Total income from operations | 31,271 | 40,770 | +9,499 | +30.4% |
As we expected, FCF has flipped. Q2-2026 FCF went negative at −$5.9B because that $44.9B of capex exceeded the $39.1B of operating cash flow.
Revenue mix
Cloud was 6.7% of revenue in Q1-2020. It’s 20.7% now. On current trajectories Cloud exits 2026 at a $100B+ run rate.
Q1-26 cloud backlog was $460B+ (with 50% expected to be recognized as revenue within 2 years).
The marginal dollar of Alphabet growth is no longer an ad dollar. In Q2-2026, Cloud contributed ~$11.1B of the $23.4B YoY revenue increase, nearly half (47%). That’s a structural change in what kind of company this is, because an ad dollar required almost no incremental capital and a Cloud dollar requires enormous amounts of it upfront.
Capital Raises
I won’t detail this too much since I already detailed it in this note on hyperscaler capex and raises here. As today’s filing confirms, across Q2-2026 Alphabet raised $49.6B in net stock + mandatory preferred, with another $20.3B of senior notes issued. LT Debt now stands at $98B (+316% YoY).
CapEx
Capex has gone from ~$13B (2024) to $35.7B (Q1-26) and $44.9B (Q2-26, +100.1% YoY).
The capex guidance for 2026 has been raised for a 3rd time today, now at $195-205B for 2026
| Alphabet 2026 CapEx Guidance Raises | |
|---|---|
| Feb 2026 (Q4-25 call) | $175–185B |
| Apr 2026 (Q1-26 call) | $180–190B |
| Jul 2026 (this call) | $195–205B |
Google CFO Ashkenazi: the increase is “primarily due to an acceleration in the delivery of capacity to meet growing demand,” and Alphabet still expects capex to “increase significantly in 2027.”
H1 capex was $80.6B ($35.7B Q1 + $44.9B Q2). So a $195-205B full year means $115–125B in H2-26 (~45–55% higher than H1).
Depreciation is already +42% YoY (from $5B to $7.1B quarterly) and lags spend by years. The income statement is still now showing the spending yet.
Today’s 34% operating margin is being earned against yesterday’s asset base. A $180B capex year implies eventually $30-40B+ of annual depreciation working through the P&L.
The margin expansion story of 2024 / 2025 runs directly into that wall c. 2027 unless revenue keeps compounding at 20%+ (deeply improbable).
Datacenters
Google has 32 active datacenter clusters across 11 countries globally (US: 18 clusters). It confirms another 27 in development (US: +18).
In the US, Google Cloud operates 9 regions (18 clusters) across markets including Iowa, South Carolina, Northern Virginia, Ohio, Dallas, Oregon, Los Angeles, Salt Lake City, and Las Vegas.
Google doesn’t disclose any per-site capacity, MW, or square footage anywhere.
The crown jewel is Council Bluffs, Iowa (their largest data center campus). Google has invested $20B+ in Iowa since 2007, including a recent $7B expansion and a new campus in Cedar Rapids.
New builds are confirmed in Indiana, Ohio, Mississippi, Nebraska, and Oklahoma (a $9B Oklahoma commitment includes a new Stillwater campus).
For new buildouts, as I’ve mentioned power is the limiting factor. Virginia is nearing grid limits, pushing builds to new states, and Google has moved from buying renewable credits to funding actual generation tied to specific campuses: a Kairos Power deal for 500MW of small modular nuclear by 2035 (first 50MW flowing through the Tennessee Valley Authority), a framework with Brookfield to develop up to 3,000MW of new hydropower, a 200MWe fusion offtake with Commonwealth Fusion, and geothermal deals.
In Mar-2026, Google also signed a “Ratepayer Protection Pledge” committing to pay for new grid infrastructure its growth requires.
In Europe, Netherlands is Google’s main datacenter hub with 4 Dutch sites. The newest activity is new builds in Sweden (Horndal), Norway (Skien), and Austria (Kronstorf), joining live sites in Finland, Denmark, Ireland, Belgium, Germany, and the UK.
R&D
R&D has gone from ~$7B in 2020 to $18B in Q2-26, and the unallocated “Alphabet-level AI” bucket from ~$1B to $5.8B.
Headcount growth (+6.3% YoY) is the fastest since the 2022 binge that management later apologized for.
Balance Sheet
Non-marketable securities jumped from $69B to $131B on the balance sheet. The $99B (mostly unrealized) gain on equity securities flowed through net income into retained earnings
As the company warns, it will swing OI&E (other income and expenses line) markedly in future quarters. Cash + securities of $242.5B includes $87.1B of marketable equity securities (confirmed by CFO Ashkenazi in the call today). SpaceX is likely the lions share.
Alphabet’s Balance Sheet QoQ:
| Line Item ($M) | Mar 31 2026 | Jun 30 2026 | $ Change | QoQ % |
|---|---|---|---|---|
| Cash & cash equivalents | $38,063 | $55,911 | +$17,848 | +46.9% |
| Marketable securities | $88,777 | $186,563 | +$97,786 | +110.1% |
| Total cash + marketable securities | $126,840 | $242,474 | +$115,634 | +91.2% |
| Accounts receivable, net | $62,999 | $69,175 | +$6,176 | +9.8% |
| Inventory + other current assets | $23,914 | $31,875 | +$7,961 | +33.3% |
| Total current assets | $213,753 | $343,524 | +$129,771 | +60.7% |
| Non-marketable securities | $106,946 | $131,461 | +$24,515 | +22.9% |
| Deferred income taxes (asset) | $1,995 | $1,448 | ($547) | -27.4% |
| Property & equipment, net | $281,020 | $321,212 | +$40,192 | +14.3% |
| Operating lease assets | $15,509 | $17,694 | +$2,185 | +14.1% |
| Goodwill | $57,774 | $57,828 | +$54 | +0.1% |
| Intangible assets, net | $9,444 | $9,105 | ($339) | -3.6% |
| Other non-current assets | $17,478 | $39,711 | +$22,233 | +127.2% |
| Total assets | $703,919 | $921,983 | +$218,064 | +31.0% |
| Total current liabilities | $111,188 | $126,111 | +$14,923 | +13.4% |
| Long-term debt | $77,501 | $98,165 | +$20,664 | +26.7% |
| Deferred income taxes + other LT liab | $11,044 | $31,330 | +$20,286 | +183.7% |
| Total liabilities | $225,173 | $281,503 | +$56,330 | +25.0% |
Alphabet’s Balance Sheet YoY:
| Line Item ($MM) | Jun 30 2025 | Jun 30 2026 | $ Change | YoY % |
|---|---|---|---|---|
| Cash & cash equivalents | $21,036 | $55,911 | +$34,875 | +165.8% |
| Marketable securities | $74,112 | $186,563 | +$112,451 | +151.7% |
| Total cash + marketable securities | $95,148 | $242,474 | +$147,326 | +154.8% |
| Accounts receivable, net | $55,048 | $69,175 | +$14,127 | +25.7% |
| Inventory | - | $9,991 | new line¹ | n/a |
| Other current assets | $16,020 | $21,884 | +$5,864 | 36.6%¹ |
| Total current assets | $166,216 | $343,524 | +$177,308 | +106.7% |
| Non-marketable securities | $52,574 | $131,461 | +$78,887 | +150.0% |
| Deferred income taxes (asset) | $19,289 | $1,448 | ($17,841) | -92.5% |
| Property & equipment, net | $203,231 | $321,212 | +$117,981 | +58.1% |
| Operating lease assets | $14,255 | $17,694 | +$3,439 | +24.1% |
| Goodwill | $32,335 | $57,828 | +$25,493 | +78.8% |
| Intangible assets, net | - | $9,105 | new line | n/a |
| Other non-current assets | $14,153 | $39,711 | +$25,558 | +180.6% |
| Total assets | $502,053 | $921,983 | +$419,930 | +83.6% |
| Accounts payable | $8,347 | $20,258 | +$11,911 | +142.7% |
| Accrued compensation & benefits | $12,168 | $15,086 | +$2,918 | +24.0% |
| Accrued expenses & other current | $52,039 | $73,014 | +$20,975 | +40.3% |
| Accrued revenue share | $9,787 | $10,599 | +$812 | +8.3% |
| Deferred revenue | $4,969 | $7,154 | +$2,185 | +44.0% |
| Total current liabilities | $87,310 | $126,111 | +$38,801 | +44.4% |
| Long-term debt | $23,607 | $98,165 | +$74,558 | +315.8% |
| Income taxes payable, non-current | $10,027 | $11,306 | +$1,279 | +12.8% |
| Deferred income taxes (liability) | - | $22,819 | new line | n/a |
| Operating lease liabilities | $11,952 | $14,591 | +$2,639 | +22.1% |
| Other long-term liabilities | $6,241 | $8,511 | +$2,270 | 36.4% |
| Total liabilities | $139,137 | $281,503 | +$142,366 | +102.3% |
Inventory now broke out as its own $10B line (as Google now sells TPU systems). The Blackstone project (announced May-2026 for 500MW capacity) is the template. Google CFO Ashkenazi: it’s small in 2026, and the vast majority of the revenue from that agreement comes through in 2027. She framed it as an expansion of their TAM.
Other Earnings Call Key Points
Sundar: “More than 9 million developers are building each month with our models across our APIs and key developer products. Our model
APIs are now processing approx. 22 billion tokens per minute. That’s up from 16 billion just a quarter ago.”
Sundar on Youtube: “We are also bringing the power of conversational AI directly into the YouTube experience. Ask YouTube uses our Gemini models to let people ask complex questions about individual videos, get quick takeaways and jump straight to moments in those videos. The early engagement is encouraging. More than 140 million users engaged with Ask YouTube on the watch page in June 2026.”
Sundar on enterprise AI: “In Q2, agent development kit, our framework for building and deploying enterprise AI agents reached nearly 70 million total downloads. …nearly 90% of Fortune 100 are using Gemini Enterprise.”
Sundar on drug development: “In health and drug discovery, Isomorphic Labs raised over $2 billion to power its AI drug design engine, scale globally and advance its drug candidate pipeline.”
Sundar honest on the weak spot: coding and agentic coding is an area “where we have acknowledged we need to improve.”
Sundar on TPU allocation priority: “our first priority is making sure we are allocating what we need to compete at the frontier.”
Waymo
As part of Alphabet’s recent capital market sales, it shared that Waymo’s valuation was $126B as of Feb-2026. Waymo’s current US network is 11 cities. It plans to add 20 additional cities in 2026. In Jun-2026, Waymo surpassed 500,000 rides per week.
Conclusion
Alphabet is increasingly becoming a levered bet on AI infra ROI, with the funding gap, depreciation wave, and high capex guides as pain points. Search resilience as the thing that pays for the majority in the meantime. Even Search can’t pay for it all, which is why $69.9B was raised in Q2-2026 (debt + equity).
On today’s call, CFO Ashkenazi framed their AI moat on the full stack as: efficiencies come from being able to “drive operational efficiencies, technological efficiencies within our technical infrastructure.”
Google still retains substantial compute, data, distribution, and enormous balance sheet strength. They need to follow through by displacing OpenAI (hard) and Claude (even harder). Even Kimi is ahead in coding now. Nothing but results will prove otherwise.
DeepMind needs to shape it. Just earlier today, they were actively being made fun of by one of OpenAI’s Codex leads (R) and Meta’s Alexandr Wang (L).
Financials - YoY Growth:
| Metric | 2021 Q1 | 2021 Q2 | 2021 Q3 | 2021 Q4 | 2022 Q1 | 2022 Q2 | 2022 Q3 | 2022 Q4 | 2023 Q1 | 2023 Q2 | 2023 Q3 | 2023 Q4 | 2024 Q1 | 2024 Q2 | 2024 Q3 | 2024 Q4 | 2025 Q1 | 2025 Q2 | 2025 Q3 | 2025 Q4 | 2026 Q1 | 2026 Q2 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total revenues | 34.4% | 61.6% | 41.0% | 32.4% | 23.0% | 12.6% | 6.1% | 1.0% | 2.6% | 7.1% | 11.0% | 13.5% | 15.4% | 13.6% | 15.1% | 11.8% | 12.0% | 13.8% | 15.9% | 18.0% | 21.8% | 24.2% |
| Google Services | 34.0% | 63.1% | 40.7% | 31.3% | 20.1% | 10.1% | 2.5% | (2.3%) | 0.8% | 5.5% | 10.8% | 12.5% | 13.6% | 11.5% | 12.5% | 10.2% | 9.8% | 11.7% | 13.8% | 14.0% | 16.0% | 14.5% |
| Google advertising | 32.3% | 68.9% | 43.2% | 32.6% | 22.3% | 11.6% | 2.5% | (3.6%) | (0.2%) | 3.3% | 9.5% | 11.0% | 13.0% | 11.1% | 10.4% | 10.6% | 8.5% | 10.4% | 12.6% | 13.6% | 15.5% | 14.4% |
| Google Search & other | 30.1% | 68.1% | 44.0% | 35.7% | 24.3% | 13.5% | 4.3% | (1.6%) | 1.9% | 4.8% | 11.3% | 12.7% | 14.4% | 13.8% | 12.2% | 12.5% | 9.8% | 11.7% | 14.5% | 16.7% | 19.1% | 16.8% |
| YouTube ads | 48.7% | 83.7% | 43.0% | 25.4% | 14.4% | 4.8% | (1.9%) | (7.8%) | (2.6%) | 4.4% | 12.5% | 15.5% | 20.9% | 13.0% | 12.2% | 13.8% | 10.3% | 13.1% | 15.0% | 8.7% | 10.7% | 12.9% |
| Google Network | 30.2% | 60.4% | 39.8% | 25.6% | 20.2% | 8.7% | (1.6%) | (8.9%) | (8.3%) | (5.0%) | (2.6%) | (2.1%) | (1.1%) | (5.2%) | (1.6%) | (4.1%) | (2.1%) | (1.2%) | (2.6%) | (1.6%) | (3.9%) | (0.7%) |
| Subscriptions, platforms & devices | 46.4% | 29.3% | 23.3% | 22.3% | 4.9% | (1.1%) | 2.1% | 7.8% | 8.8% | 24.2% | 20.9% | 22.7% | 17.9% | 14.4% | 27.8% | 7.8% | 18.8% | 20.3% | 20.8% | 16.7% | 19.3% | 15.2% |
| Google Cloud | 45.7% | 53.9% | 44.9% | 44.6% | 43.8% | 35.6% | 37.6% | 32.0% | 28.1% | 28.0% | 22.5% | 25.7% | 28.4% | 28.8% | 35.0% | 30.1% | 28.1% | 31.7% | 33.5% | 47.8% | 63.4% | 81.8% |
| Other Bets | 46.7% | 29.7% | 2.2% | (7.7%) | 122.2% | 0.5% | 14.8% | 24.9% | (34.5%) | 47.7% | 42.1% | 190.7% | 71.9% | 28.1% | 30.6% | (39.1%) | (9.1%) | 2.2% | (11.3%) | (7.5%) | (8.7%) | 2.4% |
| Operating income (total) | 106.2% | 203.3% | 87.6% | 39.8% | 22.2% | 0.5% | (18.5%) | (17.0%) | (13.3%) | 12.3% | 24.6% | 30.5% | 46.3% | 25.6% | 33.6% | 30.7% | 20.2% | 14.0% | 9.5% | 16.0% | 29.7% | 30.4% |
| Google Services op income | 69.3% | 134.2% | 65.9% | 36.3% | 17.3% | 1.9% | (17.5%) | (22.2%) | (5.2%) | 3.0% | 21.0% | 32.2% | 28.3% | 26.5% | 28.9% | 22.8% | 17.2% | 11.4% | 8.7% | 22.2% | 24.2% | 19.6% |
| Google Cloud op income | (43.7%) | (58.6%) | (46.7%) | (28.4%) | (4.4%) | 45.2% | 8.5% | (79.1%) | (120.5%) | (146.0%) | (138.1%) | (564.5%) | 371.2% | 196.7% | 632.0% | 142.2% | 141.9% | 141.1% | 84.6% | 153.8% | 203.1% | 211.9% |
| Other Bets op income | 2.1% | 25.3% | 16.8% | 27.6% | 0.9% | 20.6% | 25.1% | (14.7%) | 6.1% | (51.8%) | (25.9%) | (30.2%) | (16.7%) | 39.5% | (6.5%) | 36.0% | 20.2% | 9.9% | 27.8% | 208.1% | 71.3% | 44.4% |
| Alphabet-level activities | 37.5% | 61.7% | 8.7% | 70.7% | (25.3%) | (22.2%) | (66.7%) | (63.9%) | 344.3% | 55.0% | 395.8% | 374.8% | (29.9%) | 90.9% | 90.0% | (8.3%) | 31.3% | 47.4% | 41.1% | 111.8% | 78.1% | 71.7% |
| Operating margin % (p.p.) | 10.3% | 14.6% | 8.0% | 1.5% | (0.2%) | (3.4%) | (7.5%) | (5.2%) | (4.6%) | 1.4% | 3.0% | 3.6% | 6.7% | 3.1% | 4.5% | 4.6% | 2.3% | 0.1% | (1.8%) | (0.5%) | 2.2% | 1.6% |
| Google Cloud operating margin % (p.p.) | 38.2% | 34.7% | 22.2% | 16.4% | 8.1% | (0.9%) | 2.7% | 13.5% | 18.6% | 18.6% | 13.3% | 11.9% | 6.8% | 6.4% | 14.0% | 8.1% | 8.4% | 9.4% | 6.6% | 12.6% | 15.2% | 14.8% |
| Cost of revenues (incl. TAC) | 26.9% | 41.4% | 30.8% | 26.5% | 22.8% | 14.8% | 12.8% | 7.1% | 3.4% | 6.0% | 6.6% | 6.3% | 10.1% | 11.3% | 9.8% | 8.1% | 7.9% | 9.9% | 13.4% | 12.7% | 13.5% | 17.7% |
| Research & development | 9.8% | 11.6% | 12.2% | 24.0% | 21.8% | 28.2% | 33.5% | 17.9% | 25.8% | 7.6% | 9.6% | 18.0% | 3.8% | 12.0% | 10.6% | 8.3% | 13.9% | 16.4% | 21.7% | 41.6% | 25.6% | 31.9% |
| Sales & marketing | 0.4% | 35.2% | 30.4% | 43.1% | 29.0% | 25.7% | 25.6% | (5.5%) | 12.2% | 2.3% | (0.6%) | 7.5% | (1.6%) | 0.2% | 5.0% | (4.6%) | (4.0%) | 4.5% | (0.3%) | 11.6% | 23.2% | 18.3% |
| General & administrative | (3.7%) | 29.2% | 18.1% | 46.2% | 21.7% | 9.5% | 10.5% | 23.1% | 11.4% | (4.8%) | 10.6% | 2.2% | (19.5%) | (9.3%) | (9.6%) | (15.4%) | 17.0% | 64.9% | 105.4% | 21.2% | 21.2% | 24.0% |
| Traffic acquisition costs (TAC) | 30.3% | 63.3% | 40.8% | 28.3% | 23.5% | 11.8% | 2.9% | (3.7%) | (2.2%) | 2.6% | 6.9% | 8.2% | 10.5% | 6.8% | 8.5% | 6.2% | 6.2% | 9.8% | 8.4% | 11.8% | 10.8% | 10.0% |
| Income before income taxes | 174.4% | 165.6% | 86.1% | 34.8% | (11.0%) | (13.5%) | (27.1%) | (31.9%) | (1.5%) | 15.2% | 30.6% | 42.4% | 44.1% | 25.8% | 49.6% | 32.1% | 55.5% | 23.2% | 38.7% | 21.3% | 85.2% | 308.9% |
| Net income | 162.3% | 166.2% | 84.1% | 40.8% | (8.3%) | (13.6%) | (23.3%) | (36.4%) | (5.7%) | 14.8% | 41.5% | 51.8% | 43.4% | 28.6% | 33.6% | 28.3% | 55.5% | 19.4% | 33.0% | 29.8% | 81.2% | 297.9% |
| Number of employees | 13.8% | 13.0% | 13.6% | 15.7% | 17.1% | 20.8% | 24.5% | 21.6% | 16.4% | 4.5% | (2.4%) | (4.1%) | (5.1%) | (1.2%) | (0.6%) | 0.4% | 2.7% | 4.2% | 4.9% | 4.1% | 4.8% | 6.3% |
| United States revenues | 32.7% | 56.7% | 39.1% | 30.3% | 26.8% | 16.0% | 11.9% | 6.3% | 3.6% | 7.2% | 8.9% | 13.6% | 17.9% | 17.5% | 18.7% | 12.8% | 13.5% | 11.8% | 13.0% | 17.0% | 22.8% | 32.1% |
| EMEA revenues | 32.6% | 67.9% | 42.5% | 34.3% | 19.3% | 7.6% | (2.0%) | (6.0%) | 3.7% | 8.6% | 16.5% | 14.9% | 12.9% | 10.7% | 12.4% | 12.7% | 9.0% | 14.5% | 17.4% | 17.3% | 21.4% | 15.0% |
| APAC revenues | 44.4% | 61.7% | 38.4% | 28.5% | 13.3% | 4.3% | (1.8%) | (5.9%) | (1.4%) | 8.7% | 14.2% | 16.7% | 13.8% | 8.6% | 10.8% | 8.4% | 11.8% | 19.2% | 22.5% | 22.2% | 23.1% | 17.2% |
| Other Americas revenues | 34.7% | 82.9% | 55.5% | 45.8% | 32.3% | 29.0% | 12.2% | 4.7% | 6.2% | 3.9% | 10.0% | 11.2% | 14.0% | 9.5% | 11.9% | 10.8% | 12.5% | 16.1% | 19.1% | 19.8% | 21.2% | 22.5% |
Financials - $MM unless stated:
| Metric | 2021 Q2 | 2021 Q3 | 2021 Q4 | 2022 Q1 | 2022 Q2 | 2022 Q3 | 2022 Q4 | 2023 Q1 | 2023 Q2 | 2023 Q3 | 2023 Q4 | 2024 Q1 | 2024 Q2 | 2024 Q3 | 2024 Q4 | 2025 Q1 | 2025 Q2 | 2025 Q3 | 2025 Q4 | 2026 Q1 | 2026 Q2 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total revenues | $61,880 | $65,118 | $75,325 | $68,011 | $69,685 | $69,092 | $76,048 | $69,787 | $74,604 | $76,693 | $86,310 | $80,539 | $84,742 | $88,268 | $96,469 | $90,234 | $96,428 | $102,346 | $113,828 | $109,896 | $119,796 |
| Google Services | $57,067 | $59,884 | $69,400 | $61,472 | $62,841 | $61,377 | $67,838 | $61,961 | $66,285 | $67,986 | $76,311 | $70,398 | $73,928 | $76,510 | $84,094 | $77,264 | $82,543 | $87,052 | $95,862 | $89,637 | $94,540 |
| Google advertising | $50,444 | $53,130 | $61,239 | $54,661 | $56,288 | $54,482 | $59,042 | $54,548 | $58,143 | $59,647 | $65,517 | $61,659 | $64,616 | $65,854 | $72,461 | $66,885 | $71,340 | $74,182 | $82,284 | $77,253 | $81,629 |
| Google Search & other | $35,845 | $37,926 | $43,301 | $39,618 | $40,689 | $39,539 | $42,604 | $40,359 | $42,628 | $44,026 | $48,020 | $46,156 | $48,509 | $49,385 | $54,034 | $50,702 | $54,190 | $56,567 | $63,073 | $60,399 | $63,271 |
| YouTube ads | $7,002 | $7,205 | $8,633 | $6,869 | $7,340 | $7,071 | $7,963 | $6,693 | $7,665 | $7,952 | $9,200 | $8,090 | $8,663 | $8,921 | $10,473 | $8,927 | $9,796 | $10,261 | $11,383 | $9,883 | $11,055 |
| Google Network | $7,597 | $7,999 | $9,305 | $8,174 | $8,259 | $7,872 | $8,475 | $7,496 | $7,850 | $7,669 | $8,297 | $7,413 | $7,444 | $7,548 | $7,954 | $7,256 | $7,354 | $7,354 | $7,828 | $6,971 | $7,303 |
| Subscriptions, platforms & devices | $6,623 | $6,754 | $8,161 | $6,811 | $6,553 | $6,895 | $8,796 | $7,413 | $8,142 | $8,339 | $10,794 | $8,739 | $9,312 | $10,656 | $11,633 | $10,379 | $11,203 | $12,870 | $13,578 | $12,384 | $12,911 |
| Google Cloud | $4,628 | $4,990 | $5,541 | $5,821 | $6,276 | $6,868 | $7,315 | $7,454 | $8,031 | $8,411 | $9,192 | $9,574 | $10,347 | $11,353 | $11,955 | $12,260 | $13,624 | $15,157 | $17,664 | $20,028 | $24,768 |
| Other Bets | $192 | $182 | $181 | $440 | $193 | $209 | $226 | $288 | $285 | $297 | $657 | $495 | $365 | $388 | $400 | $450 | $373 | $344 | $370 | $411 | $382 |
| Operating income (total) | $19,361 | $21,031 | $21,885 | $20,094 | $19,453 | $17,135 | $18,160 | $17,415 | $21,838 | $21,343 | $23,697 | $25,472 | $27,425 | $28,521 | $30,972 | $30,606 | $31,271 | $31,228 | $35,934 | $39,696 | $40,770 |
| Google Services op income | $22,343 | $23,973 | $25,993 | $22,920 | $22,770 | $19,781 | $20,222 | $21,737 | $23,454 | $23,937 | $26,730 | $27,897 | $29,674 | $30,856 | $32,836 | $32,682 | $33,063 | $33,527 | $40,132 | $40,589 | $39,544 |
| Google Cloud op income | ($591) | ($644) | ($890) | ($931) | ($858) | ($699) | ($186) | $191 | $395 | $266 | $864 | $900 | $1,172 | $1,947 | $2,093 | $2,177 | $2,826 | $3,594 | $5,313 | $6,598 | $8,814 |
| Other Bets op income | ($1,398) | ($1,288) | ($1,450) | ($1,155) | ($1,686) | ($1,611) | ($1,237) | ($1,225) | ($813) | ($1,194) | ($863) | ($1,020) | ($1,134) | ($1,116) | ($1,174) | ($1,226) | ($1,246) | ($1,426) | ($3,617) | ($2,100) | ($1,799) |
| Alphabet-level activities | ($993) | ($1,010) | ($1,768) | ($740) | ($773) | ($336) | ($639) | ($3,288) | ($1,198) | ($1,666) | ($3,034) | ($2,305) | ($2,287) | ($3,166) | ($2,783) | ($3,027) | ($3,372) | ($4,467) | ($5,894) | ($5,391) | ($5,789) |
| Operating margin % | 31.3% | 32.3% | 29.1% | 29.5% | 27.9% | 24.8% | 23.9% | 25.0% | 29.3% | 27.8% | 27.5% | 31.6% | 32.4% | 32.3% | 32.1% | 33.9% | 32.4% | 30.5% | 31.6% | 36.1% | 34.0% |
| Google Cloud operating margin % | -12.8% | -12.9% | -16.1% | -16.0% | -13.7% | -10.2% | -2.5% | 2.6% | 4.9% | 3.2% | 9.4% | 9.4% | 11.3% | 17.1% | 17.5% | 17.8% | 20.7% | 23.7% | 30.1% | 32.9% | 35.6% |
| Cost of revenues (incl. TAC) | $26,227 | $27,621 | $32,988 | $29,599 | $30,104 | $31,158 | $35,342 | $30,612 | $31,916 | $33,229 | $37,575 | $33,712 | $35,507 | $36,474 | $40,613 | $36,361 | $39,039 | $41,369 | $45,766 | $41,271 | $45,943 |
| Research & development | $7,675 | $7,694 | $8,708 | $9,119 | $9,841 | $10,273 | $10,267 | $11,468 | $10,588 | $11,258 | $12,113 | $11,903 | $11,860 | $12,447 | $13,116 | $13,556 | $13,808 | $15,151 | $18,572 | $17,032 | $18,219 |
| Sales & marketing | $5,276 | $5,516 | $7,604 | $5,825 | $6,630 | $6,929 | $7,183 | $6,533 | $6,781 | $6,884 | $7,719 | $6,426 | $6,792 | $7,227 | $7,363 | $6,172 | $7,101 | $7,205 | $8,215 | $7,606 | $8,403 |
| General & administrative | $3,341 | $3,256 | $4,140 | $3,374 | $3,657 | $3,597 | $5,096 | $3,759 | $3,481 | $3,979 | $5,206 | $3,026 | $3,158 | $3,599 | $4,405 | $3,539 | $5,209 | $7,393 | $5,341 | $4,291 | $6,461 |
| Traffic acquisition costs (TAC) | $10,929 | $11,498 | $13,427 | $11,990 | $12,214 | $11,826 | $12,925 | $11,721 | $12,537 | $12,642 | $13,986 | $12,946 | $13,387 | $13,719 | $14,848 | $13,748 | $14,705 | $14,876 | $16,597 | $15,228 | $16,179 |
| Income before income taxes | $21,986 | $22,269 | $25,197 | $18,934 | $19,014 | $16,233 | $17,147 | $18,647 | $21,903 | $21,197 | $24,412 | $26,868 | $27,551 | $31,706 | $32,243 | $41,789 | $33,933 | $43,987 | $39,117 | $77,412 | $138,753 |
| Net income | $18,526 | $18,141 | $21,437 | $16,436 | $16,002 | $13,910 | $13,624 | $15,493 | $18,368 | $19,689 | $20,687 | $22,215 | $23,619 | $26,301 | $26,536 | $34,540 | $28,196 | $34,979 | $34,455 | $62,578 | $112,193 |
| Effective tax rate % | 15.7% | 18.5% | 14.9% | 13.2% | 15.8% | 14.3% | 20.5% | 16.9% | 16.1% | 7.1% | 15.3% | 17.3% | 14.3% | 17.0% | 17.7% | 17.3% | 16.9% | 20.5% | 11.9% | 19.2% | 19.1% |
| Number of employees | 144,056 | 150,028 | 156,500 | 163,906 | 174,014 | 186,779 | 190,234 | 190,711 | 181,798 | 182,381 | 182,502 | 180,895 | 179,582 | 181,269 | 183,323 | 185,719 | 187,103 | 190,167 | 190,820 | 194,668 | 198,933 |
| United States revenues | $28,208 | $29,824 | $34,790 | $31,733 | $32,727 | $33,372 | $36,982 | $32,864 | $35,073 | $36,354 | $41,995 | $38,737 | $41,196 | $43,139 | $47,375 | $43,964 | $46,063 | $48,758 | $55,444 | $53,975 | $60,846 |
| EMEA revenues | $19,084 | $19,839 | $23,153 | $20,317 | $20,533 | $19,450 | $21,762 | $21,078 | $22,289 | $22,661 | $25,010 | $23,788 | $24,683 | $25,472 | $28,184 | $25,923 | $28,262 | $29,911 | $33,056 | $31,468 | $32,501 |
| APAC revenues | $11,231 | $11,705 | $12,732 | $11,841 | $11,710 | $11,494 | $11,979 | $11,681 | $12,728 | $13,126 | $13,979 | $13,289 | $13,823 | $14,547 | $15,156 | $14,854 | $16,480 | $17,819 | $18,527 | $18,288 | $19,317 |
| Other Americas revenues | $3,364 | $3,688 | $4,447 | $3,842 | $4,340 | $4,138 | $4,656 | $4,080 | $4,511 | $4,553 | $5,176 | $4,653 | $4,938 | $5,093 | $5,734 | $5,233 | $5,735 | $6,065 | $6,869 | $6,345 | $7,026 |