Google parent Alphabet Inc. announced financial results for the fourth quarter of last year. The company reported $26.06 billion in quarterly revenue, which was more than financial analysts had expected. However adjusted earnings per share of $9.36 were below expectations.
Overall year-over-year revenue growth was 22 percent. Ad revenues were $22.4 billion, representing 17 percent growth. Despite these figures, the stock was down in after-hours trading.
Paid clicks were up on Google sites and network properties, 43 percent and 7 percent respectively. But CPCs were down 16 percent and 19 percent.
The company credited mobile search and video advertising with driving its top line revenue growth.
Google reported “other revenues” growth of 62 percent to $3.4 billion. This category includes some of the hardware products that the company has developed (e.g., Pixel, Google Home). Financial analysts estimate that Google may have sold one million Pixel phones during the holiday quarter. Sales for Google Home have been estimated at between 400,000 and 500,000 units.
Alphabet has roughly $86 billion in cash and marketable securities. Total revenues for 2016 were $90.3 billion vs. $75 billion in 2015.
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