Net Income was Up 89% in Alphabet’s 2021 Financial Results

Alphabet (NASDAQ: GOOGL) announced 2021 Q4 financial results on February 1st, 2022. According to the announcement, revenues, operating income and net income were up 32%, 29% and 36%, respectively (YoY, 3 months). In addition, diluted EPS increased by 38% (YoY, 3 months). As for the results of fiscal year ending December 31, 2021, net income was up 89% and free cash flow was up 74% (TTM, YoY). Thus, Alphabet’s business performance seems to be under extremely good conditions. 

Looking at revenue growth by service, Google Cloud recorded the highest growth of up 45%. This was followed by up 36% for Google Search & other and up 25% for YouTube Ads. In this regard, Google Cloud is recording a segment loss at this moment, but it is reducing the amount of the loss.

As for revenue growth by region, America other than the United States has the highest growth of up 44%. It was followed by EMEA of 35%, and APAC of up 31% (constant currency basis, YoY, 3 months).

According to the announcement, Alphabet’s Board of Directors had approved and declared a 20-for-one stock split. If approval by shareholders is obtained, each of the Company’s stockholders of record at the close of business on July 1st will receive 19 additional shares of the same class of stock for every share held by such stockholder after the close of business on July 15th. 

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