Mountain View, California—Alphabet Inc., the tech behemoth behind Google, delivered a first-quarter performance on April 16, 2025, that sent Wall Street into a frenzy, blowing past analyst predictions, hiking its dividend by 5%, and greenlighting a massive $70 billion stock buyback program. The numbers landed like a thunderclap, underscoring Google’s iron grip on search, cloud, and digital advertising in a tech landscape that’s anything but forgiving.
The company reported earnings per share of $2.81 for Class A and C shares, smashing the $2.02 consensus estimate from analysts. Revenue, excluding traffic acquisition costs, clocked in at $76.5 billion, topping the $75.5 billion Wall Street had penciled in. Google Cloud, long a scrappy underdog in the cloud wars, posted $12.3 billion in revenue, outpacing the $12 billion expected and marking a hefty jump from $9.57 billion a year earlier. Capital expenditures, a sign of Alphabet’s relentless infrastructure push, hit $17.2 billion, up from $14.3 billion in the prior quarter.
Investors didn’t have to wait long for the cherry on top. Alphabet announced a 5% increase to its quarterly dividend, a move that signals confidence in its cash-generating machine. The board also authorized a $70 billion share repurchase program for Class A and C stock, doubling down on a strategy to juice shareholder value. The buyback, paired with the dividend hike, is a loud declaration that Alphabet sees its stock as a bargain, even as tech valuations wobble under regulatory and economic pressures.
Google’s search business, the engine that keeps the lights on, showed no signs of rust. Advertising revenue held firm, proving the company’s dominance in a market where competitors scramble for scraps. Meanwhile, YouTube’s ad growth and subscription traction added fuel to the fire. The cloud division’s performance was the real surprise, with margins improving and revenue growth signaling that Google’s big bets on AI and data centers are starting to pay off.
The results come as Alphabet navigates a gauntlet of challenges—antitrust scrutiny, AI-driven disruptions, and a global economy that’s been anything but predictable. Yet, the company’s ability to churn out profits while pouring billions into moonshot projects like autonomous vehicles and quantum computing remains unmatched. The $70 billion buyback, in particular, is a flex, dwarfing similar moves by peers and reinforcing Alphabet’s war chest as one of the deepest in Silicon Valley.
Alphabet’s stock surged in after-hours trading following the announcement, with shares climbing as markets digested the numbers. The company’s cash flow, which topped projections, gives it room to keep investing in AI, cloud infrastructure, and other frontier tech while rewarding shareholders. For now, Google’s proving it can walk the tightrope of innovation and profitability without breaking a sweat.
The first-quarter earnings were reported for the period ending March 31, 2025. The dividend increase applies to the quarterly payout for Class A, Class B, and Class C shares. The $70 billion buyback program is effective immediately and covers both Class A and Class C stock. Alphabet’s market capitalization stood at approximately $2 trillion as of the close of regular trading on April 16, 2025.