Alphabet Inc (GOOGL, Financial) released its Q3 2023 earnings report on October 24, 2023. The company reported strong financial results, with revenue reaching $77 billion, marking an 11% increase compared to the same period last year. The growth was primarily driven by meaningful growth in Search and YouTube, and momentum in Cloud.
Financial Highlights
Alphabet Inc (GOOGL, Financial)'s operating income for the quarter was $21.3 billion, up from $17.1 billion in Q3 2022. The company's net income also saw a significant increase, standing at $19.7 billion, compared to $13.9 billion in the same period last year. Diluted earnings per share (EPS) for the quarter were $1.55, up from $1.06 in Q3 2022.
Segment Performance
Google Services, which includes products and services such as ads, Android, Chrome, hardware, Google Maps, Google Play, Search, and YouTube, reported revenues of $67.9 billion. Google Cloud reported revenues of $8.4 billion, while Other Bets, a combination of multiple operating segments, reported revenues of $297 million.
Workforce and Office Space
The company announced a reduction in its workforce in January 2023, resulting in employee severance and related charges of $86 million for Q3 2023. As of September 30, 2023, the company's number of employees stood at 182,381.
Balance Sheet Overview
As of September 30, 2023, Alphabet Inc (GOOGL, Financial) had total assets of $396.7 billion, up from $365.2 billion as of December 31, 2022. The company's total liabilities stood at $123.5 billion, while total stockholders' equity was $273.2 billion.
Looking Ahead
Alphabet Inc (GOOGL, Financial) continues to focus on judicious capital allocation to deliver sustainable financial value. The company's strong Q3 2023 results reflect the fundamental strength of its business and its continued focus on AI-driven innovations.
