According to company announcements on April 29 (local time), Google parent Alphabet reported first-quarter revenue of $109.9 billion, up 22% from a year earlier. Google Cloud revenue rose 63% to $20.0 billion. Shares climbed more than 6% in after-hours trading following the report. Alphabet projected annual capital expenditures of up to $190 billion.
Alphabet’s results most clearly highlighted the payoff from AI spending. CEO Sundar Pichai said, “Sales of enterprise AI products became a key driver of cloud growth.”
Amazon also reported solid results. First-quarter revenue totaled $181.5 billion. Amazon Web Services revenue increased 28% to $37.6 billion, and advertising revenue rose 24% to $17.2 billion. First-quarter capital expenditures jumped 76% from a year earlier to $44.2 billion. After the company confirmed it would keep its annual investment plan at about $200 billion, the stock rose nearly 4% in after-hours trading.
Microsoft extended its growth streak. Quarterly revenue rose 18% from a year earlier to $82.9 billion. Microsoft cloud revenue increased 29% to $54.5 billion, and cloud services revenue including Azure rose 40%. But with Azure growth not far above market expectations and a $190 billion capital spending plan also in focus, the stock weakened in after-hours trading before recovering to around flat.
Meta also beat market expectations. First-quarter revenue rose 33% to $56.31 billion, and net profit jumped 61% to $26.77 billion. It forecast second-quarter revenue of $58.0 billion to $61.0 billion. However, after raising its full-year capital expenditure outlook to $125 billion to $145 billion, Meta shares fell more than 6% in after-hours trading.
* This article has been translated by AI.
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