Google Parent Alphabet Shares Jump 8% After Q2 Results Beat Street

(RTTNews) - Shares of Alphabet Inc. (GOOG, GOOGL), the parent company of Google, jumped 8 percent on extended session Thursday after it reported a second-quarter profit and revenues that trumped Wall Street estimates, driven largely revenue growth in search and advertising.

Alphabet reported second-quarter profit of $9.95 billion or $14.21 per share, up from last year's profit of $3.20 billion or $4.54 per share last year. On average, 33 analysts polled by Thomson Reuters estimated earnings of $11.33 per share for the quarter. Analysts' estimates typically exclude one-time items.

Revenues for the quarter jumped 19 percent to $38.94 billion from $32.66 billion last year. Analysts had a consensus revenue estimate of $38.17 billion for the quarter.

Google advertising revenues rose to $32.60 billion from $28.09 billion last year, while Google other revenues increased to $6.18 billion from $4.43 billion.

Paid clicks on Google properties jumped 28 percent from last year and 6 percent from previous quarter. Meanwhile, cost-per-click dropped 11 percent from a year ago and 1 percent from prior quarter.

"With revenues of $38.9 billion, up 19% versus the second quarter of 2018 and up 22% on a constant currency basis, we're delivering strong growth," said Ruth Porat, Chief Financial Officer of Alphabet and Google. "Our ongoing investments in compute capabilities and engineering talent reflect the compelling opportunities we see across the company."

GOOG closed Thursday's trading at $1,132.12, down $5.69 or 0.50%, on the Nasdaq. The stock, however, jumped $95.87 or 8.47% in the after-hours trade.