Alphabet Announces Third Quarter 2026 Results
Cloud revenue doubled, but investment losses weighed on earnings and spending plans remain substantial.
TL;DR
- Alphabet reported Q3 2026 revenue of $127.6 billion, up 25%.
- Google Cloud revenue grew 103% to $30.7 billion.
- Investment losses reduced earnings, and management expects capital expenditure to increase significantly in 2027.
Alphabet reported Q3 2026 revenue of $127.6 billion, up 25% from a year earlier. The Associated Press reported that revenue and earnings fell short of analysts’ expectations. [1] [2]
Google Cloud revenue increased 103% to $30.7 billion, according to the company. Alphabet attributed the growth to enterprise AI infrastructure and solutions as well as other cloud services. [1] [2]
The Associated Press reported an $8.7 billion loss on equity investments that reduced earnings by 55 cents per share. Alphabet reported $2.12 in earnings per share for the quarter. [1] [2]
Chief financial officer Anat Ashkenazi said capital expenditure was expected to increase significantly in 2027, with more detail to come on the fourth-quarter call. The size and return of that future spending remain uncertain. [2]
Why it matters
Cloud growth and rising infrastructure spending link AI demand to Alphabet’s cash requirements, even as investment losses complicate the earnings picture.
Editor's note
The company release is reproduced by MarketScreener; AP independently reports the results. The 2027 spending statement is management guidance, not a finalized amount.