Alphabet's financial performance for the fourth quarter of 2025 revealed record-breaking annual revenues exceeding $400 billion for the first time. This quarter, the company reported $113.8 billion in revenue, marking an 18% increase from $96.5 billion in Q4 2024. Operating income reached $35.93 billion, while net income stood at $34.46 billion, up from $26.54 billion a year prior.
In comparison to the previous quarter, revenue increased from $102.3 billion along with net income of $34.98 billion. YouTube’s ad revenue rose to $11.38 billion, while Google Cloud reported $17.66 billion, significantly higher than the $11.96 billion from the same period last year. Additionally, Google subscriptions, which encompass various platforms and devices, generated $13.58 billion, an increase from $11.63 billion year-over-year.
Despite the positive results, "Other Bets" continued to show losses, earning $370 million compared to $400 million in Q4 2024, with losses escalating to $3.6 billion. Looking ahead, Alphabet anticipates capital expenditures for 2026 to fall between $175 billion and $185 billion to meet increasing customer demand and leverage growth opportunities.