Feb 2 (Reuters) – Alphabet (GOOGL.O) posted lower-than-expected quarterly earnings on Thursday as Google parent company’s digital advertising business struggled under an economic slowdown that has stifled corporate spending and caused mass layoffs. reported.
Alphabet shares, which have lost about 40% of their value in 2022, are down about 2% in after-hours trading.
Google’s ad revenue, which includes search and YouTube, fell to $61.24 billion as advertisers, the biggest contributor to Alphabet’s sales, cut back on spending to combat persistent inflation, high interest rates and fears of a recession. to $59.04 billion.
But big-tech peer Meta Platforms Inc (META.O) slammed investors in its quarterly earnings call, which features promises to cut costs and increase its offerings to make better use of advertising dollars. impressed me.read more
Alphabet’s net income decreased to $13.62 billion, or $1.05 per share, from $20.64 billion, or $1.53 per share, a year earlier.
Fourth quarter revenues of $76.05 billion increased from $75.33 billion a year ago. Analysts had expected $76.53 billion, according to his IBES data from Refinitiv.
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Reported by Nivedita Bal of Bengaluru. Edited by Devika Symnath
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