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April 28, 2021 - Google parent Alphabet reported its most profitable ever quarter between January and March 2021, driven by strong demand for online advertising, home gaming, and YouTube video content.
The blowout quarter saw gross revenue surging to $55.3 billion, up 34 per cent from $41.2 billion in the same period last year. Net profit rocketed 162 per cent to $17.9bn ($26.29 per share) from Q1 2020.
Google’s ad business -- the world market leader -- generated $44.68 billion, accounting for 81 per cent of Alphabet’s first-quarter revenue.
YouTube ad revenue rose 49 per cent to $6 billion as people were looking to relieve pandemic boredom by watching videos online.
The company’s Google Cloud unit -- a distant third-place cloud services provider behind Amazon and Microsoft -- added $4 billion of revenue, up 45.7 per cent. Although the division continues to be lossmaking, the losses narrowed to $974m from $1.73bn a year ago.
Alphabet’s Other Bets, which includes its driverless car business Waymo, life sciences researcher Verily and its “moonshot factory” X, generated $198 million. However, the division lost $1.15 billion.
By region, Alphabet’s revenues soared 32 per cent in Asia-Pacific, 23 per cent in the U.S., 22 per cent in Europe, the Middle East and Africa and 14% in other Americas.