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Alphabet Q1 revenue +12% YoY, but company “not immune to the macro environment”

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Top stories today:

  1. Alphabet Q1 revenue +12% YoY, net income +46%
  2. Elon’s X revenue rebounds on AI, subscription growth
  3. Neumann’s Flow raises $100M at ~$2.5B valuation
  4. Yahoo ready to buy Chrome if Google ordered to divest
  5. Trump’s 1st 100 days marked by high executive action

0. Data and calendar

All values as of 6 AM ET / 3 AM PT, other than S&P500 and NASDAQ close (4 PM ET / 1 PM PT).

All times are ET.

Listen to our AI-generated podcast summarizing today’s newsletter (beware of hallucinations):

1. Alphabet Q1 revenue +12% YoY, but company “not immune to the macro environment”

  • +28% in Google Cloud revenue to $12.26B.

  • AI Overviews saw 1.5B users/month, up from 1B in Oct.

  • Trump ending de minimis loophole next month will “cause a slight headwind to our Ads business,” Google’s CBO Philipp Schindler said.

Google Services revenue in Q1 was +10% to $77.26B

Alphabet’s capital expenditure was +43% to $17.20B

  • Expected to invest ~$70B in capital expenditures this year, Alphabet CFO Anat Ashkenazi said.

  • “[M]ay fluctuate from quarter to quarter due to the impact of changes in the timing of deliveries and construction schedules,” the CFO said.

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3. Elon’s X revenue rebounds on AI, subscription growth as ad sales stabilize

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