First time in history Google’s parent company Alphabet gave investors a look at revenue for two key businesses: YouTube and Google Cloud.
The video platform generated $15 billion in ad sales in 2019, up 36% from $11 billion the year before.
Cloud revenue was $8.9 billion for the year, up 53% from $5.8 billion in 2018.
First time in history Alphabet announced financial results for the fourth quarter of 2019, and it marks the company’s first earnings report since Sundar Pichai took over as CEO of Alphabet, in addition to already running Google.
The personnel change, however, didn’t make much of a difference. Pichai, along with CFO Ruth Porat, had been presiding over Alphabet’s earnings report and conference call for years.
Google co-founders Larry Page and Sergey Brin made the announcement in early December, so the decision is also unlikely to have impacted the company’s performance for the quarter.
The last three months have seen a bout of change at Alphabet. Page and Brin stepped aside after 21 years. Legal Chief David Drummond retired amid controversy over personal relationships at the company.
And Alphabet for the first time became a trillion-dollar company. The tech giant joins Apple, Amazon and Microsoft as the only US companies to have reached that threshold.
Google is also facing the most tumultuous period of its more than two-decade existence.
The search giant is dealing with antitrust investigations from both state and federal officials. And members of its workforce are in open revolt, protesting Google’s work in China, treatment of contractors, and handling of sexual harassment allegations against senior executives.
On Monday, Pichai had mixed news to share with investors. In the quarter ended Dec. 31, Alphabet tallied $46.07 billion in sales, missing analyst estimates of $46.94 billion, the company said Monday. Earnings per share were $15.35, exceeding expectations of $12.53 per share, according to Thomson Reuters.
“Our investments in deep computer science, including artificial intelligence, ambient computing and cloud computing, provide a strong base for continued growth and new opportunities across Alphabet,” Pichai said in a statement.
Alphabet’s stock fell more than 4% in after-hours trading.