London Daily

Focus on the big picture.
Saturday, May 31, 2025

Google owner sees record profits as lockdown boom continues

Google owner sees record profits as lockdown boom continues

Google owner Alphabet saw its earnings soar in the first quarter as people stuck at home in the pandemic used more of its services.
Net profit jumped by 162% to a record $17.9bn in the three months to March as advertising revenue swelled by a third.

It comes as the tech giant faces increased scrutiny over its power and the pandemic has people turning to the internet more than ever.

The firm credited "elevated consumer activity online" for its results.

"Over the last year, people have turned to Google Search and many online services to stay informed, connected and entertained," said Alphabet and Google chief executive Sundar Pichai.

Analysts had expected a good performance as economies around the world have continued to reopen, prompting more spending on online advertising.

Reflecting this revenue at Google's search business jumped by 30% to $31.9bn in the quarter , while sales at YouTube leapt 49% to $6bn.

Sophie Lund-Yates, equity analyst at Hargreaves Lansdown, said Alphabet had "lapped up the rewards from the pandemic like a big cat pouncing on cream".

"While famous for its start-up culture and offices, this tech giant is, rather unspectacularly, an advertising business," she said.

"Covid means phenomenal sums of money have shifted to online shopping, so Alphabet's impenetrable family of digital advertising businesses have seen revenue skyrocket."

The only problem facing the tech giant is continued regulatory action over issues such as competition and privacy.

The latest dispute emerged on Monday when streaming TV technology company Roku accused Google of engaging in anticompetitive behaviour to benefit its YouTube and hardware businesses.

Meanwhile, US and European regulators continue to discuss tightening oversight of Google and other tech giants, but have yet to agree legislation.

On the back of the strong results, shares in Alphabet rose by 4.5% in after-hours trading.
Newsletter

Related Articles

0:00
0:00
Close
Satirical Sketch Sparks Political Spouse Feud in South Korea
Indonesia Quarry Collapse Leaves Multiple Dead and Missing
South Korean Election Video Pulled Amid Misogyny Outcry
Asian Economies Shift Away from US Dollar Amid Trade Tensions
Netflix Investigates Allegations of On-Set Mistreatment in K-Drama Production
US Defence Chief Reaffirms Strong Ties with Singapore Amid Regional Tensions
Vietnam Faces Strategic Dilemma Over China's Mekong River Projects
Malaysia's First AI Preacher Sparks Debate on Islamic Principles
White House Press Secretary Criticizes Harvard Funding, Advocates for Vocational Training
France to Implement Nationwide Smoking Ban in Outdoor Spaces Frequented by Children
Meta and Anduril Collaborate on AI-Driven Military Augmented Reality Systems
Russia's Fossil Fuel Revenues Approach €900 Billion Since Ukraine Invasion
U.S. Justice Department Reduces American Bar Association's Role in Judicial Nominations
U.S. Department of Energy Unveils 'Doudna' Supercomputer to Advance AI Research
U.S. SEC Dismisses Lawsuit Against Binance Amid Regulatory Shift
Alcohol Industry Faces Increased Scrutiny Amid Health Concerns
Italy Faces Population Decline Amid Youth Emigration
U.S. Goods Imports Plunge Nearly 20% Amid Tariff Disruptions
OpenAI Faces Competition from Cheaper AI Rivals
Foreign Tax Provision in U.S. Budget Bill Alarms Investors
Trump Accuses China of Violating Trade Agreement
Gerry Adams Wins Libel Case Against BBC
Russia Accuses Serbia of Supplying Arms to Ukraine
EU Central Bank Pushes to Replace US Dollar with Euro as World’s Main Currency
Chinese Woman Dies After Being Forced to Visit Bank Despite Critical Illness
President Trump Grants Full Pardons to Reality TV Stars Todd and Julie Chrisley
Texas Enacts App Store Accountability Act Mandating Age Verification
U.S. Health Secretary Ends Select COVID-19 Vaccine Recommendations
Vatican Calls for Sustainable Tourism in 2025 Message
Trump Warns Putin Is 'Playing with Fire' Amid Escalating Ukraine Conflict
India and Pakistan Engage Trump-Linked Lobbyists to Influence U.S. Policy
U.S. Halts New Student Visa Interviews Amid Enhanced Security Measures
Trump Administration Cancels $100 Million in Federal Contracts with Harvard
SpaceX Starship Test Flight Ends in Failure, Mars Mission Timeline Uncertain
King Charles Affirms Canadian Sovereignty Amid U.S. Statehood Pressure
Trump Threatens 25% Tariff on iPhones Amid Dispute with Apple CEO
Putin's Helicopter Reportedly Targeted by Ukrainian Drones
Liverpool Car Ramming Incident Leaves Multiple Injured
Australia Faces Immigration Debate Following Labor Party Victory
Iranian Revolutionary Guard Founder Warns Against Trusting Regime in Nuclear Talks
Macron Dismisses Viral Video of Wife's Gesture as Playful Banter
Cleveland Clinic Study Questions Effectiveness of Recent Flu Vaccine
Netanyahu Accuses Starmer of Siding with Hamas
Junior Doctors Threaten Strike Over 4% Pay Offer
Labour MPs Urge Chancellor to Tax Wealthy Over Cutting Welfare
Publication of UK Child Poverty Strategy Delayed Until Autumn
France Detains UK Fishing Vessel Amid Post-Brexit Tensions
Calls Grow to Resume Syrian Asylum Claims in UK
Nigel Farage Pledges to Reinstate Winter Fuel Payments
Boris and Carrie Johnson Welcome Daughter Poppy
×