Google Shares Rise On Revenue And Earnings Beat, $50B Buyback

Google parent company Alphabet Inc (NASDAQ:GOOG)(NASDAQ:GOOGL) reported first-quarter earnings Tuesday afternoon.

First Quarter Earnings: Alphabet reported revenue of $55.3 billion in the first quarter, beating estimates of $51.7 billion. The total was up 32% year-over-year.

Earnings per share of $26.29 beat estimates of $15.88. The company reported net income of $17.9 billion, more than doubling last year’s first-quarter total of $6.8 billion.Total advertising revenue was $44.7 billion in the first quarter, up from the comparable $33.8 billion in the last fiscal year. The company reported search revenue of $31.9 billion, YouTube revenue of $6 billion and Google network revenue of $6.8 billion.

Google's Cloud revenue improved 46% to $4 billion, though the division lags behind rivals Amazon.com Inc.

The company’s other segment revenue was $6.5 billion and Google Cloud revenue was $4 billion in the first quarter.Sundar Pichai, CEO of Google and Alphabet, said: “Over the last year, people have turned to Google Search andmany online services to stay informed, connected and entertained. We’ve continued our focus on delivering trustedservices to help people around the world. Our Cloud services are helping businesses, big and small, acceleratetheir digital transformations."

Ruth Porat, CFO of Google and Alphabet, said: “Total revenues of $55.3 billion in the first quarter reflect elevatedconsumer activity online and broad based growth in advertiser revenue. We’re very pleased with the ongoing momentum in Google Cloud, with revenues of $4.0 billion in the quarter reflecting strength and opportunity in bothGCP and Workspace.” Share Buyback Announced: Along with its first-quarter earnings, Alphabet reported a $50-billion share buyback was authorized by the company. The share repurchases will be executed “from time to time."

Price Action: Shares of GOOG are up 4% to $2,410 in after-hours Tuesday.