The company formerly known as Google just announced its Q2 earnings.
Alphabet reported that it brought in $21.5 billion in revenues during the second quarter, up 21% year-over-year, and ahead of analysts’ estimates of $20.7 billion. Three months ago, the company’s revenue came in lower than estimates.
As in the past, Google made up the vast, vast majority of Alphabet’s revenue. For Q2, Google accounted for $21.32 billion, or 99.1% of the total. The company’s so-called “Other bets” segment, which includes Nest, Google X, Verily, and Google Ventures, brought in $185 million during Q2, up from $74 million in Q2 2015. But those efforts came at a loss of $859 million for the quarter.
Alphabet did not break down revenue from within Other Bets, but might do so during its earnings conference call with investors later today.
By quarter’s end, Alphabet had 66,575 employees, up from 57,148 at the end of Q2 a year ago.
Google advertising revenue came in at $19.14 billion, up 19% for the quarter. By comparison, Facebook’s ad revenue, which it announced yesterday, had grown 63%. That suggests that Google’s ads operation is more mature than that of Facebook, but is still a financial powerhouse.
Wall Street reacted positively to the earnings report, sending Alphabet’s stock up 3.91% in after-hours trading as of this writing.