Alphabet reported strong Q2 2025 results, with revenues reaching USD 96.4B, up 14%. Net income rose 19% to USD 28.2B, and EPS hit USD 2.31. Google Cloud led growth, surging 32% to USD 13.6B, while Search and YouTube also saw double-digit gains.
Alphabet’s total operating income rose 14%, reaching USD 31.3 billion, with an operating margin of 32.4%. The operating margin benefited from strong revenue growth and ongoing efficiencies in the expense base. Net income for the quarter increased by 19% to USD 28.2 billion, and diluted earnings per share (EPS) grew 22% to USD 2.31.
Google Services generated USD 82.5 billion in revenues, an increase of 12%. Google Search and other alone contributed USD 54.2 billion in revenue, benefiting from new features like AI Overviews and AI Mode. YouTube ads revenue reached USD 9.8 billion, while operating income for Google Services was USD 33.1 billion.
Google Cloud continued its rapid expansion with revenues increasing 32% to USD 13.6 billion. Growth in Google Cloud was led by strong performance in Google Cloud Platform (GCP) across core products, AI Infrastructure and Generative AI Solutions. The segment’s operating income reached USD 2.8 billion. Pichai noted that Google Cloud’s annual revenue run rate now exceeds USD 50 billion.
Other bets, a combination of multiple operating segments of Alphabet, reported revenues of USD 373 million, with an operating loss of USD 1.2 billion.
Alphabet announced an increase in its capital expenditures for 2025 to approximately USD 85 billion, driven by strong and growing demand for its Cloud products and services. In May 2025, Alphabet issued USD 12.5 billion in fixed-rate senior unsecured notes, with proceeds allocated for general corporate purposes. The company’s total number of employees stood at 187,103 as of 30 June 2025.
