Alphabet (GOOG) Q3 2016 Earnings Call

Ruth Porat, CFO & Senior VP.

Mobile search is leading Google growth

“Our revenue of $22.5 billion in the third quarter underscores the terrific performance of our businesses globally. For the quarter, our consolidated revenue grew 23% in constant currency versus last year, notwithstanding a challenging year-on-year comparison. Once again, the primary driver was Mobile Search, with ongoing strength in YouTube and important contributions from programmatic advertising and Play.”

The decline in the British Pound is having an effect

“UK revenue was up 5% year over year to $1.9 billion, reflecting the meaningful impact of the decline in the British pound relative to last year. In fixed FX terms, the UK grew 18% year over year. Rest-of-world revenue was up 22% versus last year to $9.9 billion. In fixed FX terms, revenues were up 25% year over year.”

A move to the clouds

“Most notably, Google Cloud is generating substantial revenue growth, reflecting the ongoing momentum in the business as well as the enormous opportunity in this area…the largest percentage growth year on year in our other revenue line, actually even across all of our revenue lines, was in our Google Cloud platform, and that reflects significant momentum in compute and storage.”

Sundar Pichai – CEO, Google, Inc

Elections-related Youtube searches at an all-time high

“…the three {US Presidential} debates ranked as the three most viewed political live streams of all time on YouTube, with over 8.5 million hours watched live, a 5X increase from the 2012 debates. Elections-related searches on YouTube are also at an all-time high, with searches for U.S. election content up almost 550% compared to this time in the last election..”

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