Mountain View’s Google posts record quarterly sales as retailers swamp over ads

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Mountain View’s Google posts record quarterly sales as retailers swamp over ads

Google-parent Alphabet Inc., the Mountain View, California-headquartered tech conglomerate topped quarterly sales estimates for its cloud and advertising business as tens of thousands of online businesses seemingly had spilled over the internet advertising mogul for promotions amid a raging pandemic resurgence over the holiday quarter, pointing towards a brighter outlook for the world’s No.

1 internet service provider’s online ad revenues outlook for current-quarter amid a still-raging pandemic at large. Apart from posting an all-time high sale in online advertisements over last quarter of 2020, Alphabet Inc’s Google had pledged to raise capital expenses on facility constructions and hiring, leading to a skyrocketing of Nasdaq-listed Google LLC shares’ prices more than 8 per cent in pre-market trading on Wednesday, while the Californian tech behemoth, shares’ prices of which had torrented 21 per cent year-to-date, was trading 9.60 per cent higher to $2,103.44 per share in the day’s late-afternoon US trading hours.

Google posts record sales in Q4, 2020, shares jump

Besides, according to Google-parent Alphabet Inc.’s quarterly earnings’ report for fiscal fourth quarter of 2021 that ended on December 31, the tech megalith had witnessed a 43 per cent rise in quarterly profit to $15.2 billion or $22.30 per share, insanely beating Wall Street estimates of a gain of $15.95 per share.

Apart from that, Google’s advertising business including YouTube, which accounted for roughly 81 per cent of Alphabet Inc.’s all-time high quarterly sales of $56.9 billion in Q4, 2020, rose 23 per cent on a year-on-year basis, while Google Cloud had reported a sales figure of $3.83 billion on Q4, 2020.

In an annualized basis, Google cloud’s sales were $13.1 billion in 2020, up about 46 per cent compared to 2019. Still, Alphabet’s sales growth of 13 per cent in 2020 had been the American multinational online advertising tycoon’s slowest pace of growth since 2019, back in the era of Great Financial Depression of 2007-09, while it had reported an annual growth of 8.5 per cent.

Meanwhile, expressing an out-and-out optimism over Alphabet Inc’s Q4, 2020 sales figures, Alphabet CFO (Chief Financial Officer) Ruth Porat was quoted saying that the last quarter of 2020 has been a “great end to a challenging year.