Alphabet to report earnings: AI, ad momentum key to the fourth quarter

Alphabet is ready to report its fourth-quarter earnings Wednesday after the bell.

Here is what analysts polled by LSEG expect:

• Earnings per share: $2.63
• Income: $111.43 billion

Wall Road can be watching a number of different numbers in the report. Here’s what analysts polled by StreetAccount expect:

• Google Cloud: $16.18 billion
• YouTube promoting: $11.84 billion
• Site visitors acquisition prices: $16.20 billion

Alphabet’s newest earnings outcomes will take a look at how far the firm can rally Wall Road’s favor.

As one in every of the Road’s high performers of 2025, Alphabet’s inventory has risen greater than 70% in the previous six months. Final month, Google grew to become the fourth member of the $4 trillion membership, becoming a member of Nvidia, Microsoft and Apple as the different firms which have achieved that milestone.

Wall Road might be in search of extra particulars on the just lately introduced deal for Google to revamp Apple’s AI options, together with the Siri digital assistant, with the search firm’s Gemini synthetic intelligence fashions. The deal is one in every of the most outstanding but for Gemini as the scale of Apple’s consumer base boasts 2.5 billion lively gadgets.

Throughout the fourth quarter, Google made quite a lot of notable bulletins.

In November, the firm launched its Gemini 3 fashions to robust evaluations. Google additionally rolled out the seventh technology of its tensor processing models, known as Ironwood. And Alphabet’s driverless automobile unit Waymo additionally started opening its robotaxi routes to freeways in three main U.S. cities, marking a serious milestone for the ride-hailing firm.

Amin Vahdat, Google’s AI infrastructure boss, informed staff that the firm has to double its serving capability each six months so as to meet demand for AI companies, CNBC reported in November.

“The competitors in AI infrastructure is the most important and in addition the most costly a part of the AI race,” Vahdat mentioned.

In December, Alphabet agreed to purchase knowledge middle firm Intersect for $4.75 billion in money and the assumption of debt.

Since the begin of the 12 months, Alphabet has made extra AI bulletins, in addition to the take care of Apple. The earnings Wednesday might be Alphabet’s first alternative to contact on the bulletins with traders.

In January, the firm launched an AI function known as “Private Intelligence,” which connects data from apps like Gmail and Google Images to present customers customized solutions in the Gemini chatbot. Google additionally introduced a protocol for AI procuring brokers known as Common Commerce Protocol as the firm tries to safe its place in AI-powered commerce, which has emerged as one in every of the main battlegrounds inside client and business-facing AI.

As a part of a licensing settlement, Google DeepMind introduced on the CEO and a number of other of the high engineers at AI voice startup Hume AI, which it reportedly plans to use to enhance Gemini’s voice options.

Moreover, Google filed to attraction a federal decide’s ruling that the firm held an unlawful monopoly in its core market of web search. The attraction might lead to a delay of cures towards the firm whereas the authorized course of continues to play out.

In January, Waymo started working its service in Miami.

Earlier this week, Waymo mentioned it raised a $16 billion funding spherical that values the firm at $126 billion. The corporate ended 2025 having served 15 million journeys in 5 main U.S. markets, together with Austin, Texas, Atlanta, Los Angeles, Phoenix and the San Francisco Bay Space.

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