Alphabet, the parent company of Google, has released its first quarter results ending March 31, 2022, showing revenue growth has slowed down in contrast to 2021.
Net profit for Alphabet dropped 8% to AUD $22.87 billion ($US16.44 billion) in the March quarter and share price dipped close to 5% or AUD $34.26 (US$24.62) per share, in contrast to last year’s AUD $25.1 billion (USD $17.93 billion) or AUD $36.57 (US$26.29) per share.
Google had rise in advertising revenue up 22% with AUD $76.54 billion (USD $54.66 billion) from last year’s AUD $62.56 billion (USD $44.68 billion).
There was also a rise in Google Cloud revenue to AUD $8.15 billion (USD $5.82 billion) from AUD $5.67 billion (USD $4.05 billion) in 2021.
Meanwhile, YouTube’s advertising revenue rose only 14% compared to 49% in the first quarter of 2021.
Revenues gained in the quarter reported 23% with AUD $95.36 billion (USD $68.01 billion) from last year’s 34% lift which saw AUD $77.45 billion (USD $55.31 billion).
Sundar Pichai, CEO of Alphabet and Google, said: “Q1 saw strong growth in Search and Cloud, in particular, which are both helping people and businesses as the digital transformation continues.
“We’ll keep investing in great products and services, and creating opportunities for partners and local communities around the world,” he added.
Ruth Porat, CFO of Alphabet and Google, said: “We are pleased with Q1 revenue growth of 23% year over year.
“We continue to make considered investments in Capex, R&D and talent to support long-term value creation for all stakeholders,” she added.
This comes after Alphabet revealed an increase in revenue for the December quarter of 2021, for both globally and for the APAC region, earlier this year.
The tech giant recorded A$17.86 billion (US$12.732 billion), which is an increase of 28% year-on-year, and 9% the previous quarter.
Google advertising pulled in A$85.86 billion (US$61.24 billion) in sales, up 33% year-on-year, while Google’s ad business continues to subsidise its cloud expansion, Google Cloud revenue grew 45% year-on-year.
See also: Alphabet reveals A$17.86 billion revenue in Q4 2021