Alphabet Soars 10% on Earnings and Revenue Beats, Plus Share Buyback and First-Ever Dividend

Benzinga ·  Apr 26 16:31

$Alphabet-A (GOOGL.US)$ soared some 10% Friday after the parent firm of Google and YouTube reported well-received Q1 financial results Thursday after the bell, declaring the first dividend in company history.

GOOGL gained 10.2% to close Friday at $171.95 after the firm said Q1 revenue increased 15% year over year to $80.539 billion, beating analysts' consensus estimate of $78.594 billion.

The company also reported quarterly earnings of $1.89 per share, beating analyst estimates of $1.51 per share.

Alphabet has now beat analyst estimates on both the top and bottom lines in five consecutive quarters, according to earnings data from Benzinga Pro.

Google Search revenue was $46.156 billion in the quarter, YouTube advertising revenue came in at $8.09 billion and Google Cloud revenue totaled $9.574 billion.

"Our results in the first quarter reflect strong performance from Search, YouTube and Cloud. We are well under way with our Gemini era and there's great momentum across the company. Our leadership in AI research and infrastructure, and our global product footprint, position us well for the next wave of AI innovation," Alphabet CEO Sundar Pichai said in unveiling the results.

Alphabet's board authorized an additional share repurchase program of up to $70 billion.

The company also announced its first-ever quarterly dividend. Alphabet's board declared a cash dividend of 20 cents per share to be paid on June 17 to shareholders of record as of June 10. Alphabet noted that it plans to pay quarterly cash dividends moving forward.

However, Alphabet did not provide forward guidance in the earnings release.

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