The turnover was 90.23 billion dollars, compared to the analysts' average forecast of 89.12 billion, writes CNBC with reference to the analysis firm LSEG.
This also meant that the turnover compared to the same quarter a year ago increased by 12 percent, compared to the 10 percent that the analysts had forecast.
The profit after tax has increased by 46 percent in a year and was 34.54 billion dollars, or 2.81 dollars per share. The analysts expected 2.02 dollars per share.
During the same quarter last year, the profit was 23.66 billion – 1.89 dollars per share.
The analysts are particularly looking at how Alphabet's cloud services perform. This part is considered the best indicator of how the AI revolution contributes to the company's figures.
Alphabet has made a major investment in the business area and the cloud services have already done relatively well in the latest quarterly reports.
Higher margin
In the preliminary speculations, the turnover from cloud services was expected to land at 12.27 billion dollars, according to the analysis firm Street Account.
When the result came – 12.26 billion dollars – the company had basically met expectations.
Moreover, the turnover from cloud services increased by 28 percent compared to a year ago and the margin was 17.8 percent, compared to 9.4 percent last year.
The AI tool AI Overviews is now said to have 1.5 billion users per month, an increase from 1 billion in October.
The turnover from ads on Youtube was 8.93 billion dollars, lower than the expected 8.97 billion.
Among the concerns before the report was how Alphabet could be affected by President Donald Trump's new import tariffs, which could hit the ad market.
The share rises
The turnover from data traffic was 13.75 billion dollars, compared to the forecast 13.66 billion.
Also, increased Chinese AI competition and various legal proceedings on monopolistic behavior loom as a problem over Alphabet.
The company's share has fallen by about 16 percent on the New York Stock Exchange so far this year,
But about an hour after the report, the share had risen 4.8 percent in after-hours trading on the New York Stock Exchange.
