Alphabet, Google’s parent company, reported second-quarter revenue of $119.8 billion, beating expectations, while Google Cloud revenue surged 82%.

PANews July 23 news: According to Jiemian News, on July 22 local time, Alphabet—the parent company of Google—announced its Q2 financial results for fiscal year 2026. In the quarter, the company generated revenue of $119.8 billion, up 24% year over year, marking the 12th consecutive quarter of double-digit growth and beating market expectations; GAAP operating profit was $40.8 billion, up 30%, with the operating margin rising to 34%; GAAP earnings per share (EPS) were $9.11, above market expectations. Notably, the quarter’s net profit was significantly boosted by investment income (including fair value changes of certain equity investments).

On the business side, Google Cloud was the biggest highlight of the quarter. Driven by strong demand for enterprise-grade AI infrastructure and solutions, revenue grew 82% year over year to $24.8 billion, and operating profit rose to $8.8 billion. Google Services revenue grew 15% year over year to $94.54 billion. Within that, Search and Other revenue grew 17% year over year to $63.3 billion, and YouTube advertising revenue grew 13% year over year to $11.1 billion. Meanwhile, the company raised its 2026 full-year capital expenditure guidance from $180 billion–$190 billion to $195 billion–$205 billion to support the expansion of AI infrastructure.

There are also reports that Alphabet’s capital expenditures more than doubled in Q2 to $44.9 billion, and investment income in Q2 reached $98 billion, helping net profit exceed $100 billion.