Revenue growth accelerated to 21.8% in 2026Q1, while operating margins expanded to 36.1% despite the compute-intensive nature of generative AI infrastructure.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 |
|---|
| Sales/Revenue | 422.57B | 402.96B | 350.02B | 307.39B | 282.84B | 257.64B | 182.53B | 161.86B | 136.82B | 110.86B | 90.27B | 74.99B | 66B | 55.52B | 46.04B | 37.91B | 29.32B | 23.65B | 21.8B | 16.59B | 10.6B | 6.14B | 3.19B | 1.47B | 439.51M |
| Revenue Growth % | 17.47% | 15.13% | 13.87% | 8.68% | 9.78% | 41.15% | 12.77% | 18.3% | 23.42% | 22.8% | 20.38% | 13.62% | 18.88% | 20.59% | 21.46% | 29.28% | 23.97% | 8.51% | 31.35% | 56.47% | 72.76% | 92.48% | 117.56% | 233.54% | - |
| Cost of Goods Sold | 167.44B | 162.53B | 146.31B | 133.33B | 126.2B | 110.94B | 84.73B | 71.9B | 59.55B | 45.58B | 35.14B | 28.16B | 25.69B | 21.99B | 17.18B | 13.19B | 10.42B | 8.84B | 8.62B | 6.65B | 4.23B | 2.58B | 1.46B | 625.85M | 131.51M |
| COGS % of Revenue | - | 40.34% | 41.8% | 43.38% | 44.62% | 43.06% | 46.42% | 44.42% | 43.52% | 41.12% | 38.92% | 37.56% | 38.93% | 39.61% | 37.31% | 34.79% | 35.53% | 37.39% | 39.56% | 40.07% | 39.84% | 41.98% | 45.71% | 42.69% | 29.92% |
| Gross Profit | 255.12B | 240.43B | 203.71B | 174.06B | 156.63B | 146.7B | 97.8B | 89.96B | 77.27B | 65.27B | 55.13B | 46.83B | 40.31B | 33.53B | 28.86B | 24.72B | 18.9B | 14.81B | 13.17B | 9.94B | 6.38B | 3.56B | 1.73B | 840.08M | 308M |
| Gross Margin % | 60.37% | 59.66% | 58.2% | 56.63% | 55.38% | 56.94% | 53.58% | 55.58% | 56.48% | 58.88% | 61.08% | 62.44% | 61.07% | 60.39% | 62.69% | 65.21% | 64.47% | 62.61% | 60.44% | 59.93% | 60.16% | 58.02% | 54.29% | 57.31% | 70.08% |
| Gross Profit Growth % | - | 18.02% | 17.03% | 11.13% | 6.77% | 50.01% | 8.71% | 16.42% | 18.38% | 18.39% | 17.74% | 16.16% | 20.23% | 16.16% | 16.77% | 30.75% | 27.67% | 12.4% | 32.47% | 55.88% | 79.14% | 105.68% | 106.12% | 172.75% | - |
| Operating Expenses | 116.92B | 111.26B | 91.32B | 89.77B | 81.79B | 67.98B | 56.57B | 55.73B | 49.75B | 39.09B | 31.42B | 27.46B | 23.81B | 18.12B | 15.03B | 12.97B | 8.52B | 6.5B | 6.54B | 4.86B | 2.83B | 1.54B | 1.09B | 497.62M | 121.53M |
| OpEx % of Revenue | - | 27.61% | 26.09% | 29.2% | 28.92% | 26.39% | 30.99% | 34.43% | 36.36% | 35.27% | 34.8% | 36.63% | 36.08% | 32.64% | 32.64% | 34.23% | 29.07% | 27.46% | 30.01% | 29.29% | 26.68% | 25.16% | 34.22% | 33.95% | 27.65% |
| Selling, General & Admin | 52.36B | 50.17B | 42B | 44.34B | 42.29B | 36.42B | 29B | 28.02B | 23.26B | 19.73B | 17.47B | 15.18B | 13.98B | 10.99B | 8.95B | 7.31B | 4.76B | 3.65B | 3.75B | 2.74B | 1.6B | 854.68M | 664.75M | 406.39M | 89.78M |
| SG&A % of Revenue | - | 12.45% | 12% | 14.43% | 14.95% | 14.14% | 15.89% | 17.31% | 17% | 17.8% | 19.35% | 20.25% | 21.18% | 19.79% | 19.43% | 19.29% | 16.24% | 15.44% | 17.2% | 16.52% | 15.1% | 13.92% | 20.84% | 27.72% | 20.43% |
| Research & Development | 64.56B | 61.09B | 49.33B | 45.43B | 39.5B | 31.56B | 27.57B | 26.02B | 21.42B | 16.63B | 13.95B | 12.28B | 9.83B | 7.14B | 6.08B | 5.16B | 3.76B | 2.84B | 2.79B | 2.12B | 1.23B | 599.51M | 225.63M | 91.23M | 31.75M |
| R&D % of Revenue | - | 15.16% | 14.09% | 14.78% | 13.97% | 12.25% | 15.11% | 16.07% | 15.65% | 15% | 15.45% | 16.38% | 14.9% | 12.86% | 13.21% | 13.62% | 12.83% | 12.02% | 12.81% | 12.78% | 11.59% | 9.77% | 7.07% | 6.22% | 7.22% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.7B | 5.07B | 2.74B | 0 | 0 | 0 | 0 | 0 | 500M | 0 | 0 | 0 | 0 | 0 | 90M | 201M | 0 | 0 |
| Operating Income | 138.2B | 129.17B | 112.39B | 84.29B | 74.84B | 78.71B | 41.22B | 34.23B | 27.52B | 26.18B | 23.72B | 19.36B | 16.5B | 15.4B | 13.83B | 11.74B | 10.38B | 8.31B | 6.63B | 5.08B | 3.55B | 2.02B | 640.19M | 342.46M | 186.47M |
| Operating Margin % | 32.7% | 32.05% | 32.11% | 27.42% | 26.46% | 30.55% | 22.59% | 21.15% | 20.12% | 23.61% | 26.27% | 25.82% | 24.99% | 27.74% | 30.05% | 30.98% | 35.4% | 35.14% | 30.43% | 30.64% | 33.48% | 32.86% | 20.07% | 23.36% | 42.43% |
| Operating Income Growth % | - | 14.93% | 33.33% | 12.63% | -4.92% | 90.94% | 20.43% | 24.37% | 5.14% | 10.38% | 22.5% | 17.36% | 7.1% | 11.34% | 17.82% | 13.11% | 24.89% | 25.33% | 30.44% | 43.22% | 75.98% | 215.11% | 86.94% | 83.66% | - |
| EBITDA | 161.33B | 150.3B | 127.7B | 96.24B | 88.32B | 91.16B | 54.92B | 46.01B | 36.56B | 33.09B | 29.86B | 24.42B | 21.48B | 19.34B | 16.8B | 13.59B | 11.78B | 9.84B | 8.13B | 6.05B | 4.12B | 2.31B | 788.66M | 397.51M | 215.45M |
| EBITDA Margin % | 38.18% | 37.3% | 36.48% | 31.31% | 31.23% | 35.38% | 30.09% | 28.43% | 26.72% | 29.85% | 33.08% | 32.57% | 32.54% | 34.84% | 36.48% | 35.86% | 40.17% | 41.59% | 37.31% | 36.47% | 38.87% | 37.65% | 24.73% | 27.12% | 49.02% |
| EBITDA Growth % | 20.48% | 17.7% | 32.69% | 8.97% | -3.11% | 65.97% | 19.36% | 25.86% | 10.47% | 10.83% | 22.26% | 13.73% | 11.03% | 15.16% | 23.56% | 15.42% | 19.73% | 20.95% | 34.37% | 46.83% | 78.35% | 193.04% | 98.4% | 84.5% | - |
| D&A (Non-Cash Add-back) | 23.13B | 21.14B | 15.31B | 11.95B | 13.47B | 12.44B | 13.7B | 11.78B | 9.04B | 6.92B | 6.14B | 5.06B | 4.98B | 3.94B | 2.96B | 1.85B | 1.4B | 1.52B | 1.5B | 967.66M | 571.94M | 293.81M | 148.47M | 55.05M | 28.98M |
| EBIT | 195.68B | 158.83B | 120.08B | 86.03B | 71.69B | 91.08B | 48.22B | 39.73B | 35.03B | 27.3B | 24.27B | 19.75B | 17.36B | 15.98B | 14.55B | 12.38B | 10.8B | 8.38B | 6.63B | 5.08B | 3.55B | 2.14B | 651.1M | 348.58M | 187.49M |
| Net Interest Income | -119M | 933M | 4.21B | 3.56B | 1.82B | 1.15B | 1.73B | 2.33B | 1.76B | 1.2B | 1.1B | 895M | 645M | 685M | 615M | 754M | 574M | 230M | 390M | 559.21M | 412.06M | 120.26M | 15.13M | 732K | -1.35M |
| Interest Income | 380M | 1.08B | 4.48B | 3.87B | 2.17B | 1.5B | 1.86B | 2.43B | 1.88B | 1.31B | 1.22B | 999M | 746M | 766M | 700M | 812M | 579M | 230M | 390M | 559.21M | 412.06M | 121.04M | 16M | 2.66M | 1.22M |
| Interest Expense | 499M | 143M | 268M | 308M | 357M | 346M | 135M | 100M | 114M | 109M | 124M | 104M | 101M | 81M | 85M | 58M | 5M | 0 | 0 | 0 | 0 | 776K | 862K | 1.93M | 2.57M |
| Other Income/Expense | 56.25B | 29.66B | 7.42B | 1.42B | -3.51B | 12.02B | 6.86B | 5.39B | 7.39B | 1.01B | 434M | 291M | 763M | 496M | 635M | 584M | 415M | 69M | -779M | 589.58M | 461.04M | 124.4M | 10.04M | 4.19M | -1.55M |
| Pretax Income | 194.45B | 158.83B | 119.81B | 85.72B | 71.33B | 90.73B | 48.08B | 39.63B | 34.91B | 27.19B | 24.15B | 19.65B | 17.26B | 15.9B | 14.47B | 12.33B | 10.8B | 8.38B | 5.85B | 5.67B | 4.01B | 2.14B | 650.23M | 346.65M | 184.91M |
| Pretax Margin % | 46.02% | 39.41% | 34.23% | 27.89% | 25.22% | 35.22% | 26.34% | 24.48% | 25.52% | 24.53% | 26.75% | 26.21% | 26.15% | 28.64% | 31.43% | 32.52% | 36.82% | 35.44% | 26.85% | 34.19% | 37.82% | 34.89% | 20.39% | 23.65% | 42.07% |
| Income Tax | 34.24B | 26.66B | 19.7B | 11.92B | 11.36B | 14.7B | 7.81B | 5.28B | 4.18B | 14.53B | 4.67B | 3.3B | 3.64B | 2.74B | 2.92B | 2.59B | 2.29B | 1.86B | 1.63B | 1.47B | 933.59M | 676.28M | 251.12M | 241.01M | 85.26M |
| Effective Tax Rate % | 17.61% | 16.78% | 16.44% | 13.91% | 15.92% | 16.2% | 16.25% | 13.33% | 11.96% | 53.44% | 19.35% | 16.81% | 21.08% | 17.23% | 20.15% | 21% | 21.22% | 22.2% | 27.78% | 25.91% | 23.28% | 31.58% | 38.62% | 69.52% | 46.11% |
| Net Income | 160.21B | 132.17B | 100.12B | 73.8B | 59.97B | 76.03B | 40.27B | 34.34B | 30.74B | 12.66B | 19.48B | 16.35B | 14.14B | 12.73B | 10.74B | 9.74B | 8.51B | 6.52B | 4.23B | 4.2B | 3.08B | 1.47B | 399.12M | 105.65M | 99.66M |
| Net Margin % | 37.91% | 32.8% | 28.6% | 24.01% | 21.2% | 29.51% | 22.06% | 21.22% | 22.46% | 11.42% | 21.58% | 21.8% | 21.42% | 22.93% | 23.32% | 25.69% | 29.01% | 27.57% | 19.39% | 25.33% | 29.02% | 23.87% | 12.51% | 7.21% | 22.67% |
| Net Income Growth % | 44.34% | 32.01% | 35.67% | 23.05% | -21.12% | 88.81% | 17.26% | 11.74% | 142.74% | -34.99% | 19.15% | 15.65% | 11.02% | 18.59% | 10.27% | 14.49% | 30.44% | 54.25% | 0.55% | 36.6% | 110.01% | 267.16% | 277.78% | 6.01% | - |
| Net Income (Continuing) | 160.21B | 132.17B | 100.12B | 73.8B | 59.97B | 76.03B | 40.27B | 34.34B | 30.74B | 12.66B | 19.48B | 16.35B | 13.62B | 13.16B | 11.55B | 9.74B | 8.51B | 6.52B | 4.23B | 4.2B | 3.08B | 1.47B | 399.12M | 105.65M | 99.66M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 516M | -427M | -816M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 13.09 | 10.81 | 8.04 | 5.80 | 4.56 | 5.61 | 2.93 | 2.46 | 2.19 | 0.90 | 1.39 | 1.14 | 1.05 | 0.95 | 0.81 | 0.74 | 0.66 | 0.51 | 0.33 | 0.33 | 0.25 | 0.13 | 0.04 | 0.01 | 0.01 |
| EPS Growth % | 46.15% | 34.45% | 38.62% | 27.19% | -18.72% | 91.47% | 19.11% | 12.33% | 143.33% | -35.25% | 21.93% | 8.57% | 10.53% | 17.28% | 9.46% | 12.12% | 29.41% | 54.55% | 0% | 32% | 92.31% | 256.16% | - | -26.21% | - |
| EPS (Basic) | - | 10.91 | 8.13 | 5.84 | 4.59 | 5.69 | 2.96 | 2.48 | 2.21 | 0.91 | 1.42 | 1.16 | 1.07 | 0.97 | 0.82 | 0.75 | 0.67 | 0.52 | 0.34 | 0.34 | 0.26 | 0.13 | 0.04 | 0.01 | 0.01 |
| Diluted Shares Outstanding | 12.24B | 12.23B | 12.45B | 12.72B | 13.16B | 13.55B | 13.74B | 13.97B | 14.07B | 14.07B | 13.99B | 13.86B | 13.74B | 13.55B | 13.29B | 13.09B | 12.93B | 12.78B | 12.7B | 12.65B | 12.38B | 11.67B | 10.93B | 13.99B | 9.69B |
| Basic Shares Outstanding | 12.1B | 12.12B | 12.32B | 12.63B | 13.06B | 13.35B | 13.62B | 13.85B | 13.9B | 13.86B | 13.76B | 13.7B | 13.52B | 13.31B | 13.09B | 12.91B | 12.75B | 12.65B | 12.56B | 12.43B | 12.06B | 11.03B | 10.93B | 13.75B | 9.69B |
| Dividend Payout Ratio | - | 7.6% | 7.35% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Regulatory search distribution disruption
According to the latest quarterly data, Alphabet's revenue growth accelerated to 21.8% in 2026Q1, marking a significant departure from the mid-teens growth observed throughout 2024 and early 2025, suggesting that recent AI-driven product integrations may be successfully expanding the company's total addressable market and monetization capabilities.
The recent acceleration in top-line growth appears to indicate that the company is successfully navigating the transition to generative AI search. Investors should monitor whether this momentum is sustainable or if it reflects a temporary surge in enterprise cloud adoption and ad-spend recovery.
As reported in financial statements, Alphabet achieved a gross margin of 62.4% in 2026Q1, which represents a notable expansion from the 58-59% range maintained over the prior two years, despite the increasing compute-intensive nature of the company's core search and generative AI infrastructure requirements.
This margin expansion suggests that management may be achieving greater efficiency in data center operations or benefiting from a favorable shift in revenue mix toward higher-margin services. However, the sustainability of these levels warrants further investigation given the ongoing capital expenditure requirements for AI hardware.
Based on reported figures, Alphabet's operating margin reached 36.1% in 2026Q1, demonstrating significant operating leverage as the company successfully scaled its revenue base while maintaining disciplined control over SG&A expenses, which have remained relatively stable compared to the rapid growth in top-line performance.
The ability to expand operating margins while simultaneously investing heavily in R&D suggests that the company is beginning to realize the benefits of its recent headcount and operational efficiency initiatives. This trend implies that the core business model remains highly scalable even as the company pivots toward more compute-heavy product offerings.
Analysis of recent income statements reveals that net income has experienced significant quarterly fluctuations, such as the $62.6 billion reported in 2026Q1, which appears heavily influenced by non-operating items and tax adjustments rather than purely reflecting the underlying cash-generative capacity of the core advertising business.
Investors should look past the headline net income figures and focus on normalized operating cash flow to better understand the company's true earnings power. The persistent level of stock-based compensation, which remains elevated, continues to be a factor that dilutes the quality of reported earnings for shareholders.
While current financial performance appears robust, the recent federal court ruling identifying Alphabet as a monopolist in search distribution creates a material risk that the company may be forced to cease exclusivity payments, which could fundamentally alter the cost structure and user acquisition dynamics of the business.
Short-term financial strength may be masking long-term structural risks associated with the potential loss of default search status on key platforms. If the company is forced to compete for distribution, the resulting increase in traffic acquisition costs could lead to significant margin compression that is not currently priced into the consensus outlook.
Quick answers to the most common questions about buying GOOG stock.
For fiscal year 2025, Alphabet Inc. (GOOG) reported total revenue of $402.96B. This represents a 91585.0% increase compared to $439.5M in 2002.
Alphabet Inc. (GOOG) is profitable, generating $132.17B in net income for the fiscal year ending 2025 with a net profit margin of 32.8%.
Alphabet Inc. (GOOG) reported an operating income of $129.17B, resulting in an operating profit margin of 32.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Alphabet Inc. (GOOG) generated $240.43B in gross profit for the year, representing a gross profit margin of 59.7%. This demonstrates the company's core pricing power and production efficiency.