Alphabet posts $102.3 billion revenue in Q3, 2025

Google's parent company, Alphabet Inc. has reported a strong set of results for the third quarter of 2025, marking its first-ever $100 billion quarter. Consolidated revenues grew 16% year-on-year to $102.3 billion, driven by robust advertising growth across Google Search, YouTube, and continued acceleration in Google Cloud.

 With Google advertising revenue up 13% to $74.2 billion, advertising continues to be the backbone of Alphabet’s business. Within this, Search & other rose to $56.6 billion, while YouTube ads climbed 15% to $10.3 billion, reflecting sustained advertiser demand and engagement across video and short formats. Google Services revenues, which include ads, subscriptions, and devices, rose 14% to $87.1 billion.

Alphabet’s operating income rose 9% to $31.2 billion, with an operating margin of 30.5%. Excluding the $3.5 billion European Commission fine, operating income was up 22%, supported by revenue expansion and disciplined cost management. Net income surged 33% to $35 billion, with EPS increasing 35% to $2.87.

The company’s cloud business remained a key growth engine, posting a 34% increase in revenue to $15.2 billion, led by strong demand for its AI Infrastructure and Generative AI Solutions. Google Cloud ended the quarter with $155 billion in backlog.

Sundar Pichai, CEO of Alphabet and Google, said, “Alphabet had a terrific quarter, with double-digit growth across every major part of our business. Our full stack approach to AI is delivering strong momentum — from the rollout of AI Overviews and AI Mode in Search, to the performance of our Gemini models.”

Pichai also noted that the Gemini App now has over 650 million monthly active users, with first-party models processing 7 billion tokens per minute via API use. Alphabet’s growing base of over 300 million paid subscriptions, led by Google One and YouTube Premium, continues to strengthen its recurring revenue foundation.