Alphabet Announces Second Quarter 2026 Results [pdf]

strongpigeon 6 hours ago | parent | next [-]

Noteworthy:

- Negative free cash flow for the quarter

- $98B in unrealized gains on equity securities

- Cloud revenue are up 82% to $24.8B

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telesilla 7 hours ago | parent | prev | next [-]

Short version as far as I can see:

30% up year-over-year, driven by growth in both Google services and Google cloud.

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xnx 6 hours ago | parent | prev | next [-]

$190B of capex is mind-boggling. That's roughly equivalent to building 34 One World Trade Centers.

	▲	lostmsu 5 hours ago \| parent [-]
		There's a joke about usefulness of 34 trade centers (or just 1 really) somewhere.

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ChrisArchitect 6 hours ago | parent | prev | next [-]

Overview blog post: https://blog.google/company-news/inside-google/message-ceo/a...

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throwaway23597 6 hours ago | parent | prev [-]

Search revenue miss, apparently. Not sure whether this has happened before. But I wonder if this could be the long-predicted beginning of the downfall of search as a "money printer".

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donsupreme 6 hours ago | parent [-]

priced in

	▲	nostrademons 5 hours ago \| parent [-]
		Down $13+ (about 4%) after hours, and the drop was apparently after they mentioned the search revenue miss on the earnings call because it was flat when I looked an hour ago. So not entirely priced in. IIRC there was a search revenue miss last quarter too. Likely because of AI cannibalization of search results. Classic search is very heavily monetized, and a monopoly ad market. AI mode is currently lightly monetized, and a much more segmented market, and one that is harder to target ads for. Plus there are easily half a dozen LLM vendors now, while Search was a clear monopoly. This is something investors should be very concerned about. It's not at all clear that whatever comes post-Gemini will be nearly as profitable as Search has been for the last 20 years.