Alphabet's second quarter revenue beat estimates driven by an 82% surge in Google Cloud growth.

Alphabet reported second quarter 2026 revenue of $119.8 billion, a 24% year-over-year increase, with diluted EPS of $9.11. The EPS figure was significantly impacted by a large one-time gain on equity securities.

Key Highlights

• Google Cloud revenue growth meaningfully accelerated, increasing 82% year-over-year to $24.8 billion, driven by demand for enterprise AI solutions and infrastructure.
• Google Search & other revenue grew a strong 17% to $63.3 billion, while YouTube ads revenue increased 13% to $11.1 billion.
• Consolidated operating margin expanded by 2 percentage points to 34%, reflecting improved profitability alongside significant revenue growth.
• Net income was substantially boosted by a net gain of $98.0 billion, primarily from net unrealized gains on equity securities.