Alphabet is set to report Q1 earnings with analysts expecting revenue growth, but shares have dropped.

From CNBC: 2025-04-24 12:00:00

Alphabet, the parent company of Google and YouTube, is set to report first-quarter earnings. Analysts expect revenue of $89.2 billion, EPS of $2.02, YouTube ad revenue of $8.97 billion, and Google Cloud revenue of $12.27 billion. Alphabet shares have dropped 17% in 2025 amid an AI arms race and potential tariff impact.

Wall Street anticipates Alphabet to report 10% year-over-year revenue growth for the first quarter. Google recently released advanced AI models Gemini 2.5 and Gemma 3. Google AI chief Demis Hassabis remains confident in Google’s AI technology despite competition. New personalization features were announced for Gemini, allowing users to connect with other Google apps.

In partnership with Nvidia, Google’s Gemini products received high praise. Alphabet’s Waymo began offering robotaxi rides in Austin and opened a waitlist in Atlanta. Alphabet’s acquisition of cloud security startup Wiz for $32 billion will enhance its cloud division’s security offerings. Google faced regulatory challenges and a ruling against illegal monopolies in online advertising.

Google settled with its employee union ahead of an upcoming remedy trial following an antitrust ruling. Education tech company Chegg filed a lawsuit against Google, claiming its AI summaries feature hurt traffic and revenue. Reddit also experienced volatility in user growth due to Google’s search algorithm.



Read more at CNBC:: Alphabet Q1 earnings report 2025