Alphabet, the parent company of Google, had a strong first quarter in 2025, with its advertising business bringing in $66.8 billion, which is 8.5% more than the same time last year. Most of the revenue came from the “Google Search & Other” category, which made $50.7 billion—up 9.8% from $46.16 billion in the first quarter of 2024.
The company made $90.23 billion in total revenue, which is 12% more than the same time last year. Its profit went up by 46%, reaching $34.54 billion. YouTube’s ad revenue grew by 10.3% to $8.93 billion in the first quarter.
Beyond advertising, Google Cloud earned $12.26 billion, up 28% from last year. The cloud business also became more profitable, with operating margins rising to 17.8%, thanks to more people using AI-based services. Alphabet also saw growth in its “Other Bets” projects and subscriptions, now with over 270 million paying users on services like YouTube Premium and Google One.
Sundar Pichai, CEO, Google, said, We’re pleased with our strong results this quarter. We continued to see healthy growth and momentum across the business, including AI powering new features. In Search, we saw continued double digit revenue growth. AI Overviews is going very well with over 1.5 billion users per month, and we’re excited by the early positive reaction to AI Mode. There’s a lot more to come. In subscriptions, we surpassed 270 million paid subscriptions, with YouTube and Google One as key drivers.”
“And Cloud grew rapidly with significant demand for our solutions, and you saw our leadership in AI at Cloud Next across infrastructure, agents and more. Our differentiated, full stack approach to AI continues to be central to our growth. This quarter was super exciting as we rolled out Gemini 2.5, our most intelligent AI model, which is achieving breakthroughs in performance, and it’s widely recognized as the best model in the industry. That’s an extraordinary foundation for our future innovation. And we are focused on bringing this to people and customers everywhere. Looking ahead to I/O, Brandcast, and Google Marketing Live, I can’t wait for our teams to showcase the innovations they have been working on,” he added.
