# Alphabet Shares Fall 9.84% After Q3 Net Income Drops 25%

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/43081
Published: 2026-10-28T23:59:29.000Z
Updated: 2026-10-28T23:59:29.000Z
Section: Business

> Google Cloud revenue rose 103% to $30.7 billion, while total revenue climbed 25% to $127.6 billion.

Alphabet's third-quarter net income fell 25% year over year, and its shares dropped 9.84% in after-hours trading Wednesday, even as Google Cloud revenue more than doubled.

Alphabet, Google's parent company, reported $127.6 billion in revenue, up 25% from a year earlier and its 13th consecutive quarter of double-digit growth. Google Cloud revenue reached $30.7 billion, while Google Services revenue rose 11% to $96.3 billion.

Net income attributable to common shareholders was $26.2 billion, and earnings per share were $2.12. Alphabet recorded $8.7 billion in losses on equity securities investments, compared with a sizable gain from those investments in the year-earlier quarter. Operating income increased 30% to $40.6 billion, and operating margin reached 31.8%.

Alphabet maintained its full-year capital spending outlook of $195 billion to $205 billion, reflecting continued investment in AI infrastructure. Free cash flow was negative for the quarter. The results paired rapid cloud growth with lower net income and significant spending needs.