Alphabet's net profit fell due to the revaluation of its own stock portfolio. Год назад инвестиции в акции других компаний принесли Alphabet почти 5 billion dollars, but now the loss was about a billion.
At the same time, operating profit, or profit from operating activities, increased by 22%, to 20,1 billion dollars. Operating margin remains the same — 30%.
Alphabet reported worse than expected for the first time in two years, that is, since the beginning of the pandemic. All this time she earned good money., as many advertisers have increased spending on promoting products on the network. Now revenue growth has begun to slow down..
Here's how sales increased in key operating segments.
Google Advertising - YouTube Advertising, Google Search и прочих сервисах — 54,7 billion dollars (+22%). About 13% in this segment is accounted for by ads on YouTube. И здесь продажи подросли всего на 14% и оказались заметно ниже ожиданий: 6,9 against 7,5 billion dollars.
The company attributed the poor performance to competition and the high base effect.: a year ago, in quarantine, people spent more time online, including on YouTube. And the departure from Russia also affected. Last year, the country accounted for about 1% of total annual revenue.
Google Other — commissions in Google Play, YouTube Premium subscriptions, гаджеты Pixel и прочее — 6,8 billion dollars (+5%).
Google Cloud— облачные услуги — 5,8 billion dollars (+44%). This is the most promising business, which still results in an operating loss.. For the year it has not changed much - about a billion dollars.
Other Bets — medical developments, беспилотные авто и прочее — 0,4 billion dollars (+122%). В этом экспериментальном сегменте убыток также почти не изменился — около 1,2 billion dollars.
What about stocks
Taking into account the post-market, Alphabet shares have already fallen in price by 20%. Company leaders think, that the papers have already fallen hard enough, и увеличили программу по выкупу акций до 70 billion dollars.
А еще в июле Alphabet проведет сплит акций в соотношении 20:1. After that, the share price will decrease by 20 once, and the number of shares held by holders will increase proportionally, from one to twenty. If crushing was done today, then the price would drop to about 115 $.
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