Alphabet shares fall as cloud growth is offset by slower search and heavy spending
publishers 96articles 143first reported 6 Oct, 18:16 UTCdeveloping since 7 Oct · 25 editions
Alphabet shares fell more than 11% in after-hours trading after the company reported slower-than-expected growth in Google Search and record capital spending, despite Google Cloud revenue more than doubling to $30.7 billion in the third quarter. Search revenue rose 12% to $63.4 billion, below analysts’ expectation of 15% growth, while total revenue increased 25% from a year earlier to $127.6 billion, roughly matching estimates.
Capital expenditures reached $51.4 billion, up from $24 billion a year earlier, and free cash flow was negative $9.1 billion. Alphabet maintained its forecast for capital spending to reach $200 billion in 2026 and rise to $300 billion in 2027.
Earnings declined to $2.12 a share from $2.87, largely because of an $8.7 billion paper loss on equity investments that reduced earnings by 55 cents per share. Operating income rose 30% year over year to $40.6 billion, though it was slightly below the previous quarter.
HOW THIS STORY WAS MADE
Written from 8 articles, 5 with the publisher's own text; 8 independent newsrooms once syndicated copies count as one; this version written 534 h after the record first saw the story; the editor kept it as written.
- Publishers
- 96
- Source articles
- 143
- Given to the writer
- 8, 5 with the article's own text
- Independent newsrooms
- 8
- This version written
- 534 h after the record first saw the story
- Second model (editor)
- kept as written
- Publication gate
- passed
- Human review
- none
WHAT THE EDITOR DID
The second model checked the writer's draft against the same sources and published it as written.
Written by a language model from the sources above, then checked by a second model that may only cut, attribute or correct. How it works →