Income Statement
Quarterly Data
The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.
Alphabet Inc., consolidated income statement (quarterly data)
US$ in millions
Based on: 10-Q (reporting date: 2026-03-31), 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
Financial performance across the analyzed period exhibits a consistent upward trajectory in both top-line revenue and bottom-line net income, characterized by strong operational scaling and expanding margins. Revenue grew from 55,314 million USD in March 2021 to 109,896 million USD by March 2026, demonstrating a sustained growth pattern with recurring seasonal peaks in the fourth quarter of each year.
- Revenue and Gross Profitability
- A steady increase in gross profit is observed, rising from 31,211 million USD to 68,625 million USD. The growth in gross profit outpaced the growth in cost of revenues, indicating an improvement in the cost structure and higher efficiency in core service delivery. Gross margins expanded progressively over the five-year period, reflecting stronger pricing power or optimized operational costs.
- Operating Expense Trends
- Research and development expenditures show a significant and continuous increase, climbing from 7,485 million USD to 17,032 million USD, signifying a strategic prioritization of long-term innovation. In contrast, sales and marketing expenses remained relatively stable, fluctuating between 4,516 million USD and 8,215 million USD, suggesting a reliance on organic growth and brand strength rather than aggressive spending. General and administrative costs remained largely controlled, though a temporary spike to 7,393 million USD occurred in September 2025 before normalizing.
- Operational Efficiency
- Income from operations grew from 16,437 million USD in March 2021 to 39,696 million USD in March 2026. This growth indicates that the company successfully scaled its operations while maintaining disciplined control over its operating expense ratio. The operational margin improved significantly, showing that incremental revenue is contributing more heavily to operating profit over time.
- Net Income and Non-Operating Factors
- Net income displays a general growth trend, though it is characterized by volatility in the latter periods. While net income grew from 17,930 million USD to a peak of 62,578 million USD in March 2026, the final period's result was heavily influenced by a substantial increase in other income, net, which reached 37,716 million USD. This non-operating surge significantly amplified the final net income figure beyond the growth attributed to core operational activities.
The overall financial trajectory is one of robust expansion. The transition from 2021 to 2026 reveals a business that has not only increased its scale but has also enhanced its operational leverage, allowing for significant increases in operating income despite rising investments in research and development.
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