Feb 2 (Reuters) – Alphabet Inc (GOOGL.O) reported lower-than-expected quarterly revenue on Thursday as the Google parent’s digital ad business struggled amid a slowing economy that dampened expectations. cut business spending and triggered mass layoffs.
Shares of Alphabet are down about 40% in 2022 and were down about 2% in after-hours trading.
Google’s ad revenue, which includes search and YouTube, fell to $59.04 billion from $61.24 billion as advertisers — the biggest contributor to Alphabet’s sales — scaled back spending in response to persistent inflation, high interest rates and fears of a recession. concerns.
However, big tech peer Meta Platforms Inc (META.O) impressed investors with its quarterly results announcement, which promised to cut costs and boost products to better leverage advertising revenue.read more
Alphabet’s net income fell to $13.62 billion, or $1.05 a share, from $20.64 billion, or $1.53 a share, a year ago.
Fourth-quarter revenue rose to $76.05 billion from $75.33 billion a year ago. Analysts expected $76.53 billion, according to IBES data from Refinitiv.
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Reporting by Nivedita Balu in Bengaluru; Editing by Devika Syamanath
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