The Chief Executive Officer of Google, Sundar Pichai.

Alphabet Inc., the parent company of Google, posted strong first-quarter results for 2025, reporting a 12% year-over-year increase in revenue to $90.2 billion. The surge was fuelled by robust growth across Google’s core businesses, especially in search, YouTube ads, subscriptions, and cloud computing.

Net income rose sharply by 46% to $23.66 billion, while earnings per share climbed 49% to $2.81. Operating income increased 20%, with the operating margin improving to 34%.

Alphabet’s Google Services segment, comprising Google Search, YouTube, and subscriptions, contributed $77.3 billion in revenue—marking a 10% rise from Q1 2024. Meanwhile, Google Cloud posted a notable 28% revenue increase, hitting $12.3 billion, driven by growing demand for AI infrastructure and generative AI tools.

CEO Sundar Pichai attributed the strong performance to the company’s “full-stack approach to AI”, highlighting the rollout of Gemini 2.5, Google’s most advanced AI model. Pichai noted AI Overviews now reaches 1.5 billion monthly users, and paid subscriptions surpassed 270 million, led by YouTube and Google One.

“We’re pleased with our strong Q1 results,” Pichai said. “They reflect healthy momentum across the business and set the foundation for continued innovation.”

Alphabet’s performance underscores growing investor confidence in AI-driven technologies and positions the tech giant for continued growth through 2025.