Google Parent Posts Surge in Profit, but Expenses Also Jump

Google parent Alphabet posted surging profits as advertisers kept swarming to the search giant amid a global debate about internet privacy that threatens to affect its main revenue generator. Alphabet’s earnings also got a multibillion-dollar boost from the company’s stakes in startups including Uber but were tempered by the costliest spending spree in its 14-year history as a public company. Net profit jumped 73% to $9.4 billion in the first quarter, up from $5.4 billion in the same period in 2017, a performance that highlights the firm’s huge lead in the global market for online ads. The earnings growth was Alphabet’s strongest since the fourth quarter of 2009. Advertising revenue, which accounts for nearly all of the company’s top line, soared 24% to $26.6 billion. Revenue from “Other Bets,” a segment which includes Waymo self-driving cars, totaled $150 million, an increase of 14% from the same period last year.