Alphabet(GOOG)2025-04-25 01:05Financial Performance - Revenues increased from 90,234 million in Q1 2025, representing a growth of 8.5%[16] - Net income rose significantly from 34,540 million in Q1 2025, an increase of 45.9%[16] - Comprehensive income increased from 35,254 million in Q1 2025, a growth of 51.7%[19] - Net income for the three months ended March 31, 2024, was 34,540 million for the same period in 2025, representing a growth of 46%[25] - Total revenues increased from 90,234 million in Q1 2025, reflecting a year-over-year growth of 12.5%[35] - Google Cloud revenue rose from 12,260 million in Q1 2025, marking a significant increase of 28.1%[35] - Google Services revenue rose to 70.398 billion in Q1 2024, reflecting an increase of about 9.9%[119] - The total operating income for the company increased to 25.472 billion in Q1 2024, which is a growth of around 20.4%[119] Expenses and Investments - Research and development expenses increased from 13,556 million in Q1 2025, reflecting a 13.9% rise as the company invests in AI products and services[16] - Stock-based compensation expense was 5,516 million in Q1 2025[25] - The provision for income taxes for Q1 2025 was 4.653 billion and 16.4% in Q1 2024[115] - The allowance for credit losses on accounts receivable increased from 915 million as of March 31, 2025[80] - The company plans to continue investing in new businesses, products, and technologies, including acquisitions and strategic investments[9] Assets and Liabilities - Total assets grew from 475,374 million as of March 31, 2025[14] - Cash and cash equivalents slightly decreased from 23,264 million as of March 31, 2025[14] - Property and equipment, net, increased from 185.062 billion as of March 31, 2025[81] - Accrued expenses and other current liabilities rose from 58.300 billion as of March 31, 2025[82] - Total long-term debt as of March 31, 2025, was 9.1 billion[78] Regulatory and Legal Matters - The company is facing heightened regulatory scrutiny, which could impact business practices and financial results[12] - In June 2017, the European Commission imposed a €2.4 billion fine on Google for antitrust violations related to shopping search results[95] - In July 2018, the European Commission imposed a €4.3 billion fine on Google for antitrust violations related to Android distribution agreements, later reduced to €4.1 billion[95] - In March 2019, the European Commission imposed a €1.5 billion fine on Google for antitrust violations related to AdSense for Search, which was annulled in September 2024[96] - Ongoing privacy investigations and lawsuits in the U.S. and EU could result in significant fines and product changes for Google[100] Shareholder Returns - In the three months ended March 31, 2025, Alphabet repurchased 29.5 billion remained available for share repurchases after the Board authorized an additional 1.2 billion for Class A, 1.1 billion for Class C shares[109] - The Board declared a quarterly cash dividend of 0.20[109] Future Outlook - The company expects continued growth in revenues beyond advertising, which may positively impact margins[9] - The company anticipates fluctuations in traffic acquisition costs (TAC) and associated rates, which could affect overall margins[9] - Revenue backlog as of March 31, 2025, was 32.0 billion in an all-cash transaction, expected to close in 2026[86]