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Alphabet reports Q3 2026 revenue of $127.6 billion
· Confirmed
In Short: Alphabet reported Q3 2026 earnings with $127.6 billion in revenue, marking a 25% increase from the same period in 2025.
Alphabet reported Q3 2026 earnings with $127.6 billion in revenue, marking a 25% increase from the same period in 2025. The company's revenue growth was driven by strong performance in Google Cloud, which saw a 103% increase in revenue.
Google Cloud's revenue surged to $30.71 billion, compared to $15.16 billion in Q3 2025, reflecting the growing demand for AI infrastructure and solutions. CEO Sundar Pichai highlighted the company's progress, noting that Alphabet is now on track to achieve a half-trillion-dollar revenue run rate.
Despite the strong revenue growth, Alphabet's net income fell to $26.17 billion, down from $34.9 billion in Q3 2025. The decline was attributed to an $8.7 billion paper loss on Alphabet’s equity investments, which trimmed earnings by 55 cents per share.
Alphabet's Other Bets segment reported revenue of $372 million and an operating loss of $2 billion. The segment's performance was overshadowed by the robust growth in Google Cloud and the overall company revenue.
Google's search ad revenues increased by 10.5% to $82 billion, up from about $74 billion a year ago. YouTube ad revenue also grew to $11.2 billion, compared to $10.26 billion in Q3 2025.
Alphabet's deep full-stack approach is driving momentum across the business, with revenue growth across various segments, including subscriptions, platforms, and devices, which increased 11% to $14.29 billion.
Alphabet's stock price dropped sharply in after-hours trading, falling over 8% to $298.68, as investors reacted to the earnings report that missed Wall Street expectations.
CFO Anat Ashkenazi noted that the company's capital expenditure guidance for 2026 remained unchanged, but expects spending to increase significantly in 2027 to support the growing AI infrastructure.
Alphabet's Gemini app reached one billion users, making it the fastest-growing product in Google's history. The company also surpassed 150 million YouTube Music and Premium subscribers globally, including trials.
Alphabet's first-party model APIs are now processing nearly 32 billion tokens per minute, more than four times the volume processed a year ago, underscoring the company's commitment to AI and cloud services.
The earnings report highlighted the ongoing investment in AI infrastructure, with Alphabet spending approximately $51.4 billion on capital expenditures during the third quarter, more than double the amount spent a year earlier.
The strong performance in AI and cloud services, coupled with the robust growth in search and YouTube, positions Alphabet as a leader in the AI infrastructure race, alongside competitors like Microsoft and Meta.
What this adds
The earnings report marks Alphabet's first full results since the tech giant raised $84.8 billion in equity in June to fund an AI buildout.
What's confirmed
- Alphabet today announced Q3 2026 earnings with $127.6 billion in revenue.
- Google Cloud revenues grew 103%, powered by huge demand for our AI infrastructure and AI solutions.
- Our deep full stack approach is driving momentum across the business, with Alphabet revenues growing 25% year-over year.
- It reported $372 million in revenue compared to $344 million in Q3 of 2025.
- Revenue is up 25% from $102.3 billion in Q3 2025, with operating income at $40.58 billion and net income of $26.17 billion for this quarter (versus $34.9 billion a year ago).
- For comparison, Alphabet reported $119.8 billion in revenue and $112.1 billion in net income last quarter.
- In Q3 2026, YouTube ad revenue was $11.2 billion (versus $10.26 billion a year ago), while Cloud reported $30.71 billion (compared to $15.16 billion).
- We had a strong quarter and are now on a half-trillion dollar revenue run rate.
- Alphabet Inc. reported third quarter 2026 revenue of $127.6 billion on October 28, 2026, a 25% increase from the same period a year earlier, while net income available to common stockholders fell to $26.2 billion after an $8.7 billion net loss on equity securities.
- American billionaire Sergey Brin’s Alphabet reported quarterly revenue of $127.6 billion, as its cloud business more than doubled, but the shares fell in late trading as investors weighed soaring spending plans.
- Revenue in the unit jumped 103% to $30.7 billion, and it generated $11.1 billion in operating income, as companies spent heavily on computing power for artificial intelligence.
- Alphabet shares sank in after-hours trading on Wednesday, dragging on Nasdaq 100 futures.
What's still developing
- “The problem is everything else,” wrote Wagner.
- And every number attributed to Alphabet here comes from the reported results or from the executives’ own words.
- Meta and Alphabet both raised previously issued ranges.
- First Big Tech Firm to Break 100 Trillion Won in a Quarter Preliminary Figure of 107 Trillion Won Doubles Alphabet, Microsoft Only Company Besides Aramco to Reach the Mark Full-Year Operating Profit Crown Effectively Secured Samsung Electronics (005930.KS) has become the first technology company in the world to post quarterly operating profit of more than 100 trillion won.
- Alphabet and Microsoft reported surging demand for artificial intelligence in their quarterly earnings Wednesday, and the technology giants continue pouring billions of dollars into the infrastructure needed to support the growing industry.
- The case for a $500 share price by 2027 looks audacious on the surface, but one critical number in the earnings report… Alphabet ( NASDAQ:GOOG | GOOG Price Prediction ) just delivered the biggest quarter in its history, and the market is treating the stock like a value play.
- Morgan Stanley’s July 30 note projects 25% to 50% ROIC on the combined $1.4 trillion in AI infrastructure spending across Amazon ( NASDAQ:AMZN ), Microsoft ( NASDAQ:MSFT ), and Alphabet.
- Total revenue of $127.6 billion increased 25% over the year-earlier quarter, marking a 13th consecutive quarter of double-digit gains, but slightly undershot analysts’ consensus forecast of $127.8 billion.
- But Search advertising growth continued to decelerate, and Alphabet shares fell 8% following the results.
- Alphabet reported third-quarter revenue of $127.6 billion, up 25% from $102.3 billion a year earlier, roughly in line with the $127.9 billion analysts were expecting, according to consensus estimates from S&P Global Visible Alpha.
- The third quarter results are Alphabet’s first full results since the tech giant announced it raised $84.8 billion in equity in June, including $10 billion from Berkshire Hathaway, to fund an AI buildout.
- Two tech behemoths -- Alphabet ( GOOG +1.60% ) ( GOOGL +1.34% ) and Microsoft ( MSFT -0.06% ) -- reported earnings today.