Google’s earnings report isn’t anything special.

The main thing to watch is the conference call.
On the operating level, it’s clearly positive.
The core business is fully ahead of expectations.
Search is up 17%, and queries hit a new all-time high.
This shows AI hasn’t replaced Google’s core business.
But profitability quality and cash flow are clearly negative.
After stripping out the items, core EPS is approximately $2.85, which actually falls a bit short of expectations.
Next, we’ll see whether the capital expenditure guidance in the conference call gets raised.
The earnings report itself is really steady and unremarkable.