7 Key Highlights from Google’s Latest Earnings
Updated November 2025
Dear Investor,
Zee here. Last Tuesday, Howie unpacked Google (GOOGL) during our monthly free stock webinar.
Google isn’t just a search engine anymore; it’s a sprawling tech empire. Google remains a formidable investment story. They’re not just defending their position, they’re actively building the infrastructure for tomorrow, diversifying their revenue streams, and maintaining the kind of financial health that value investors dream about.
The question isn’t whether Google is a good company, but whether the current high stock price reflects these strengths.
1. Google Is Literally Building Its Own Future
The company isn’t content to rest on its search engine laurels. Google has developed custom TPU chips (Tensor Processing Units) that reduce their dependency on third-party chipmakers. This gives them better performance, cost efficiency, and the ability to customize services for cloud clients, essentially building the very infrastructure that powers their AI ambitions.
2. Revenue Growth Is Back on Track
After some concerns about slowing growth, Google’s revenue has re-accelerated. This resurgence shows the company’s ability to adapt and maintain momentum even as the tech landscape shifts beneath their feet. Alphabet crossed a major milestone by generating over $100 billion in revenue in a single quarter for the first time in company history, reporting $102.3 billion in Q3 2025. This represents a 16% increase from the same period last year and shows the massive scale Google has reached.
3. They’re Quietly a Major SpaceX Player
Here’s a fun fact that doesn’t make many headlines: Google is the second-largest shareholder in SpaceX. While everyone focuses on their core business, they’re literally investing in the stars.
4. Google Cloud Is Booming
The Google Cloud division grew an impressive 34% year-over-year, reaching $15.2 billion in revenue. Even more exciting for investors, the cloud business saw its operating income jump 85%, with profit margins increasing from 17.1% to 23.7%. This shows Google Cloud isn’t just growing—it’s becoming much more profitable. The company also revealed it has $155 billion in cloud customer backlog, meaning there’s massive demand waiting to be fulfilled.
5. The “Moat” Is Real and Wide
Google has built what investors call an unbreakable moat. Android dominates 72% of the mobile operating system market. Google is pre-installed on most smartphones and browsers. Gmail, Google Maps, and Google Drive create an ecosystem that’s nearly impossible to leave. Even ChatGPT’s Atlas browser runs on Chromium, Google’s technology. The brand is so powerful that “Google” remains a verb in everyday language.
Despite concerns about AI disrupting Google’s core business, the search business generated $56.56 billion in revenue, up 15% from the prior year. This proves that Google’s traditional search engine continues to be a cash-printing machine, even as the company expands into new AI-powered features.
6. AI Products Are Gaining Real Traction
Google’s Gemini AI app now has over 650 million monthly active users, up from 450 million last quarter. More than 70% of existing Google Cloud customers are using AI products, showing that the company’s AI investments are translating into actual customer adoption rather than just hype.
7. Huge Investment Plans Signal Confidence in AI Future
Google now expects to spend between $91 billion and $93 billion on capital expenditures in 2025, with most of that going toward data centers and technical infrastructure to support AI services. Even more significantly, the company warned investors to expect a significant increase in spending in 2026. This aggressive investment shows Google is betting big on AI demand continuing to grow.
Start your investing journey today for just $9. (LINK)
All information here is for educational purposes only. This is not financial advice. Please do your own research and speak with a licensed advisor before making any investment decisions. Past performance is not indicative of future returns. How we invest may not suit your investment goals and risk management profile.
Look at that upward stream. beautiful.
The Cloud division's 85% jump in operating income is particuarly striking. It shows they're not just chasing growth but actually optimizng margins at scale. The $155B backlog is massiv too. What intrests me most is how they're building their own TPU chips to reduce dependecy on third parties. That's real moat building right there.