Search engine and technology behemoth Alphabet Inc (NASDAQ:GOOGL) late today posted market-beating third quarter earnings and announced a massive new share repurchase plan.
The Mountain View, CA-based Google parent company reported Q3 EPS of $9.06, easily topping Wall Street’s $8.60 per share estimate. Revenue rose 20.2% from last year to $22.45 billion, also beating estimates of $22.04 billion.
Alphabet does not issue earnings guidance, so all the focus is on its reported numbers. The company said operating margin rose to 34% in the latest quarter, up from 33% last year. GOOGL provided the following breakdown of its business segment performance:
In tandem with the earnings release, Alphabet said its board of directors authorized a new $7 billion billion buyback plan. Previously, GOOGL had bought back $5 billion worth of its own stock beginning last year.
The company commented via press release:
“We had a great third quarter, with 20% revenue growth year on year, and 23% on a constant currency basis. Mobile search and video are powering our core advertising business and we’re excited about the progress of newer businesses in Google and Other Bets,” said Ruth Porat, CFO of Alphabet.
Alphabet shares in after-hours trading following the earnings release. Prior to today’s report, GOOGL had gained 5.16% year-to-date.