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Three tech giants report total profits of over $ 50 billion

alphabet

Google’s revenues improved significantly during the period a year ago when the pandemic began to halt consumer spending and its partner advertising. As the vaccine allowed people to break the pandemic and re-emerge, most of its accumulated demand prompted advertisers to spend more, most of which was Google and its parent company Alphabet. I went to the company.

Alphabet on Google generated $ 18.53 billion in revenue ($ 27.26 per share) during the quarter. That’s almost three times the $ 6.96 billion last year ($ 10.13 per share). Google’s advertising revenue increased 69% to $ 50.44 billion, thanks to what CEO Sundar Pichai called an “uptrend” in online activity between consumers and businesses.

Retailers, along with travel and entertainment advertising, have contributed most to revenue growth, the company said. Total revenue surged 62% from last year to $ 61.88 billion. Revenue after deducting TAC or traffic acquisition costs was $ 50.95 billion.

The April-June quarter looks particularly strong as the 2020 recession forced Google to report its first decline in quarterly advertising revenue from the previous year.

Analysts expected Alphabet to make $ 56.2 billion in revenue, $ 19.24 per share, and $ 46.2 billion after deducting TAC. Alphabet’s share price rose $ 135 (5.1%) to $ 2,773 in after-hours trading.

MICROSOFT

Microsoft reported on Tuesday that fourth-quarter profit was $ 16.5 billion, up 47% from the year-ago quarter. Net income of $ 2.17 per share exceeded Wall Street expectations. Software makers also reported revenue of $ 46.2 billion in the quarter ended June 30, an increase of 21% over the same period last year, above expectations.

Analysts expected Microsoft to make $ 1.91 per share with revenue of $ 44.1 billion in the April-June quarter. Microsoft’s profits have skyrocketed across the pandemic, thanks to continued demand for software and cloud computing services for remote work and research. After the first drop in after-hours trading, the company’s stock later recovered, rising less than 1%.

Microsoft’s cloud service sales growth, which competes with Amazon and other companies, and office productivity tools for processing work documents and emails both outperformed overall sales growth. .. The company’s historic pillar, personal computing, grew by just 9% in the quarter.

Microsoft pointed out that supply issues are affecting the personal computing sector, including Surface and Windows products. The company recently announced a next-generation Windows called Windows 11. This is the first major update in 6 years. It will be available later this year.

Three tech giants report total profits of over $ 50 billion

Source link Three tech giants report total profits of over $ 50 billion

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