Sundar Pichai, who took over as CEO of Alphabet a year ago, has published his first global report. It follows from it that during this period the corporation earned $ 46 billion, which is 18% higher than the previous figure, but at the same time Alphabet's net profit is only $ 10 billion - below investors' expectations. The stock price has already reacted with a fall, but Alphabet is asking not to rush and evaluate profitable services separately.
For example, YouTube, whose financial activities have been classified since its purchase by Google back in 2006 for $ 1.65 billion. Now it is a business with a turnover of about $ 15 billion a year, of which $ 5 billion is brought in by advertising in the service alone. Another $ 5.3 billion is revenue from premium packages, pay TV and music, which are used by approximately 20 million users. This content is categorized as "Other", so there is no detail by type of digital service.
In 2018, YouTube's revenue was $ 11.2 billion, and in 2019 it is already $ 15.1 billion, which is equivalent to an increase of 36.5%. For comparison, revenues from the Google search service itself for the last quarter amounted to $ 27.7 billion. For the whole year this is an impressive $ 98.2 billion, but at the same time the full annual growth was only 15%.