Quarterly Report — Q1 2025
Filed April 25, 2025
Revenue hit $90.2 billion, up 12% year-over-year, with Google Cloud accelerating to $12.3 billion (28% growth) as the AI infrastructure buildout continues at full throttle — capital expenditures surged to $17.2 billion in the quarter alone. Net income jumped 46% to $34.5 billion, fueled by strong ad revenue across Search and YouTube plus a notable boost from investment gains, while the $70 billion buyback authorization signals management's confidence in the cash machine humming beneath the AI spending spree.
Filing details
Performance by segment
Google Services
Google Services revenue grew 10% YoY to $77.3 billion, driven by Google Search & other revenues up to $50.7 billion (from $46.2B), YouTube ads reaching $8.9 billion, and subscriptions/platforms/devices climbing to $10.4 billion. Google Network was the lone soft spot, declining slightly to $7.3 billion. Segment operating income rose to $32.7 billion from $27.9 billion, with revenue growth partially offset by higher content acquisition costs and TAC.
Google Cloud
Google Cloud revenue grew 28% YoY to $12.3 billion, primarily driven by Google Cloud Platform infrastructure services. Operating income more than doubled to $2.2 billion from $900 million a year ago, though higher technical infrastructure usage costs and employee compensation partially offset revenue gains. Revenue backlog stood at $92.4 billion, with approximately 55% expected to be recognized over the next 24 months.
Other Bets
Other Bets revenue declined to $450 million from $495 million a year ago. Operating losses widened to $1.2 billion from $1.0 billion, with the increase driven by a combination of factors none of which were individually significant. The segment generates revenue primarily from healthcare-related services and internet services.