GOOG · 10-Q · 2026Q1 · Full report
Segment Profitability
Alphabet Inc. · 2026-04-30 · Importance 65 · Surprise 48 · In source text
Total operating income was $39.7 billion for the three months ended March 31, 2026, up $9.1 billion year over year. Google Services operating income increased $7.9 billion to $40.6 billion, primarily driven by revenue growth partially offset by higher TAC. Google Cloud operating income rose $4.4 billion to $6.6 billion, driven by revenue growth and partially offset by higher usage costs and employee compensation. Other Bets operating loss widened by $874 million, driven mainly by higher employee compensation, while Alphabet-level AI R&D expenses increased the unallocated expense pool.
Key facts
- Google Services operating income was $40,589 million for the three months ended March 31, 2026, an increase of $7.9 billion year over year. source
- Operating income was $39,696 million for the three months ended March 31, 2026. source
- Google Cloud operating income was $6,598 million for the three months ended March 31, 2026, an increase of $4.4 billion year over year. source
- Other Bets operating loss was $(2,100) million for the three months ended March 31, 2026, with the operating loss increasing $874 million year over year. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | positive | realized | +7.2% | Google Services operating income was $40,589 million for the three months ended March 31, 2026, an increase of $7.9 billion year over year. |
| operating_income | positive | realized | +4.0% | Google Cloud operating income was $6,598 million for the three months ended March 31, 2026, an increase of $4.4 billion year over year. |
| operating_income | positive | realized | — | Operating income was $39,696 million for the three months ended March 31, 2026. |