Google parent company Alphabet reported better-than-expected second quarter earnings on Thursday and once again declined to report its cloud revenue run rate. Nonetheless, the Mountain View-based tech giant said its board of directors approved an additional $25 billion share repurchase of its Class C capital stock.
As for the numbers, Alphabet reported[1] a net income of $9.95 billion, up from $3.2 billion a year ago, with non-GAAP earnings of $14.21 per share on revenue of $38.94 billion, when including traffic acquisition costs (TAC). Adjusted earnings were also $14.21 per share.
On average, Wall Street was looking for Q2 earnings of $11.33 per share with $38.17 billion in revenue.
The company's total TAC came to $7.24 billion. Net revenue excluding TAC was $31.7 billion. Traffic acquisition costs accounted for 22 percent of Google ad revenues.
Google revenues attributed most of Q2 sales with $27.335 billion in revenue. Google's Other revenues -- which include the company's enterprise cloud, software, and data management products -- were $6.18 billion. Revenue in Alphabet's "moonshot" Other Bets category, which includes Waymo, Fiber, Verily, and Alphabet's other healthcare-driven initiatives, ticked up slightly to $162 million with operating losses rising to $789 million.
Google's cost-per-click, which is how much it makes off each advertising click, decreased 11% year over year and 1% quarter over quarter. The company's total advertising revenue was $32.6 billion, up from $28.1 billion a year ago.
"From improvements in core information products such as Search, Maps, and the Google Assistant, to new breakthroughs in AI and our growing Cloud and Hardware offerings, I'm incredibly excited by the momentum across Google's businesses and the innovation that is fueling our growth," said Google CEO Sundar Pichai.
Shares of Alphabet were up around 7%