Google (GOOG, GOOGL) Missed On Earnings, Beat On Revenue

Founded in 1998, Mountain View-based Alphabet Inc, (GOOGL – Analyst Report), the company formerly known as Google,is an American technology company that specializes in Internet-focused products and services. It’s most known for its ubiquitous search engine Google Search, as well as its popular software programs like Google Maps, Google Drive, and Gmail, among many others.

Currently, Alphabet has a Zacks Rank #3 (Hold) but that could change following its fiscal third quarter 2015 earnings report. We have highlighted some of the key details from the just-released announcement below.

Earnings: Alphabet missed earnings expectations. Adjusted EPS came in at $5.73 per share, missing the Zacks Consensus Estimate of $5.87 per share. These figures take into account stock option expenses while the exclude non-recurring items.

Revenue: Revenues of $18.7 billion beat the Zacks Consensus Estimate of $15.087 billion, showing revenue growth of 13% year-over-year and constant currency growth of 21% year-over-year.

Key Stats to Note: Alphabet reported strong operating cash flow of $6 billion and saw substantial growth of mobile search revenue, complemented by contributions from YouTube and Programmatic Advertising.

Stock Price: GOOGL was up $60.33 or 8.86%, to $741.47 as of 4:48 PM ET in after hours trading shortly after its earnings report was released.