Alphabet Q2 2025 Results Show Strong Revenue and Profit Growth
Alphabet Inc., the parent company of Google, reported strong financial results for the second quarter ended June 30, 2025. The company announced that its total revenues rose 14% year over year to $96.4 billion, driven by robust growth across its major businesses, including Google Search, YouTube, Google Cloud, and its subscription and device platforms.
Google Services, which includes products such as Search, YouTube ads, and subscription platforms, delivered $82.5 billion in revenue for the quarter, an increase of 12% compared to the same period last year. Google Cloud revenues rose even faster, increasing by 32% to $13.6 billion, with growth attributed to higher demand for AI infrastructure and generative AI solutions.
Alphabet’s operating income grew by 14% to $31.3 billion, maintaining an operating margin of about 32%. The company’s net income was $28.2 billion, a 19% increase from the previous year. Diluted earnings per share rose to $2.31, up 22% from the same quarter in 2024.
CEO Sundar Pichai said in a statement that the quarter was marked by robust growth and highlighted the positive impact of artificial intelligence across Alphabet’s businesses. He noted that AI-powered features like AI Overviews and AI Mode contributed to growth in Search, and that YouTube and subscription services continued to perform well. Google Cloud saw increased revenue, backlog, and profitability, reaching an annual revenue run-rate of over $50 billion.
Alphabet also announced that it would increase its capital expenditures in 2025 to approximately $85 billion to meet growing demand for its cloud products and services.
The company ended the quarter with 187,103 employees, up from 179,582 a year earlier. In May 2025, Alphabet issued $12.5 billion in senior unsecured notes, with the proceeds intended for general corporate purposes.
