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My notes.... Numbers: - Alphabet 1Q EPS $13.33, Est. $9.300 - free cash flow for the first quarter of $4.34 billion. - 1Q Google Other Rev. $4.35B - 1Q Rev

My notes.... Numbers: - Alphabet 1Q EPS $13.33, Est. $9.300 - free cash flow for the first quarter of $4.34 billion. - 1Q Google Other Rev. $4.35B - 1Q Rev. Ex-TAC $24.9B, Est. $24.3B - Capital expense for Google more than triples: up from $2.4 billion to $7.7 billion year-on-year. That probably reflects spending on hardware, including the Nest division. - Porat says that CapEx was "almost completely split" between paying for machines ("compute capacity") and paying for real estate. - Without Nest, the "Other Bets" operating loss narrowed to $571 million from $703 million a year earlier. - The company has discussed making annual stock grants to executives and other employees in the first quarter, and it's not clear yet how much that dragged down Alphabet's operating profit. Ads - 1Q Paid Clicks +55% - Our first new glimpse at Google's network business: impressions on Networks sites stayed flat for the quarter, but the cost-per-impression went up 18 percent. Translation: Google is getting steady growth out of its display business. Misc: - added nearly 5,000 employees in the quarter, to 85,050 as of March 31. That works out to more than 50 new hires a day in a 90-day quarter. - Porat also says the company has been working on the GDPR compliance for 18 months. "We've changed our policy as needed. We are also providing users with strong user controls and privacy settings and privacy check ups," she told Bloomberg Television. - Porat says Waymo has achieved 5 million miles of driving on city streets.

tristanj 9y ago
>Capital expense for Google more than triples: up from $2.4 billion to $7.7 billion year-on-year Part of that also comes from Google buying up $1 billion of north Sunnyvale properties over the past year [0]. They bought roughly 50 properties. The article [0] has a nice map that shows since July 2017 Google has bought up roughly half of the Sunnyvale Moffet Park area. I am mildly surprised how little coverage Google's buying spree has received. [0] https://www.mercurynews.com/2017/12/22/google-expansion-quest-produces-sunnyvale-city-land-deal/ https://www.mercurynews.com/2017/12/22/google-expansion-ques...
- deleted 9y ago
  [deleted]
gwern 9y ago
> - Porat says Waymo has achieved 5 million miles of driving on city streets. Is that and the other Porat comments from the earnings call? The PDF doesn't seem to mention that.
- chollida1 9y ago
  yes, and other sources like the bloomberg terminal
tyingq 9y ago
"- 1Q Paid Clicks +55%" Curious what makes that possible. I thought that most monitizable queries already had 100% of the above the fold content as ads. At some point, Google is no longer a search engine, but rather, a targeted ad engine with some organic search if you bother to click to page 2. Starting to feel like the old yellow pages in it's waning days. Edit: Honestly curious. How do you keep outpacing general internet growth when you've already over optimized click growth. It's an honest question, not snark. I'm curious where the magic lies. I'm honestly surprised there's still magic after a couple of decades of squeeze. There's only so much blood in the turnip. Downvotes don't bother me, if there is some explanation. I'm here to learn.
- MarkMc 9y ago
  Google may have optimised ad impressions, but they are far from optimising ad clicks: 1. Last year I saw ads for cat food even though I don't have a cat and Google has access to my photo stream. 2. I searched for information on the new Pixel 2 phone, but Google continued to show me ads for it after I had bought it and was using it at the time. 3. I saw an ad for Android Pay, so I tried to sign up. But then Google told me my bank doesn't support Android pay. Fair enough, but why do they continue to advertise Android Pay to me? 4. On Apple's website I configured a new MacBook Pro and placed it in my shopping cart, but then had second thoughts and I didn't actually buy it for 6 months. In that time I didn't see a single Google ad for a MacBook Pro. On top of that, I don't think Google has actually optimised ad impressions. When I read a Forbes article I see ads like, "You won't believe what these celebrities look like now". When I read The Economist I see ads for milk processing plant equipment. With all the personal information Google has about me, why aren't these publications using AdSense?
adventured 9y ago
> Capital expense for Google more than triples: up from $2.4 billion to $7.7 billion year-on-year. That probably reflects spending on hardware, including the Nest division. $2.4 billion of that $7.7b is from their Chelsea Market purchase.

tristanj 9y ago

>Capital expense for Google more than triples: up from $2.4 billion to $7.7 billion year-on-year Part of that also comes from Google buying up $1 billion of north Sunnyvale properties over the past year [0]. They bought roughly 50 properties. The article [0] has a nice map that shows since July 2017 Google has bought up roughly half of the Sunnyvale Moffet Park area. I am mildly surprised how little coverage Google's buying spree has received. [0] https://www.mercurynews.com/2017/12/22/google-expansion-quest-produces-sunnyvale-city-land-deal/ https://www.mercurynews.com/2017/12/22/google-expansion-ques...

deleted 9y ago
[deleted]

gwern 9y ago

> - Porat says Waymo has achieved 5 million miles of driving on city streets. Is that and the other Porat comments from the earnings call? The PDF doesn't seem to mention that.

chollida1 9y ago
yes, and other sources like the bloomberg terminal

tyingq 9y ago

"- 1Q Paid Clicks +55%" Curious what makes that possible. I thought that most monitizable queries already had 100% of the above the fold content as ads. At some point, Google is no longer a search engine, but rather, a targeted ad engine with some organic search if you bother to click to page 2. Starting to feel like the old yellow pages in it's waning days. Edit: Honestly curious. How do you keep outpacing general internet growth when you've already over optimized click growth. It's an honest question, not snark. I'm curious where the magic lies. I'm honestly surprised there's still magic after a couple of decades of squeeze. There's only so much blood in the turnip. Downvotes don't bother me, if there is some explanation. I'm here to learn.

MarkMc 9y ago
Google may have optimised ad impressions, but they are far from optimising ad clicks: 1. Last year I saw ads for cat food even though I don't have a cat and Google has access to my photo stream. 2. I searched for information on the new Pixel 2 phone, but Google continued to show me ads for it after I had bought it and was using it at the time. 3. I saw an ad for Android Pay, so I tried to sign up. But then Google told me my bank doesn't support Android pay. Fair enough, but why do they continue to advertise Android Pay to me? 4. On Apple's website I configured a new MacBook Pro and placed it in my shopping cart, but then had second thoughts and I didn't actually buy it for 6 months. In that time I didn't see a single Google ad for a MacBook Pro. On top of that, I don't think Google has actually optimised ad impressions. When I read a Forbes article I see ads like, "You won't believe what these celebrities look like now". When I read The Economist I see ads for milk processing plant equipment. With all the personal information Google has about me, why aren't these publications using AdSense?

adventured 9y ago

> Capital expense for Google more than triples: up from $2.4 billion to $7.7 billion year-on-year. That probably reflects spending on hardware, including the Nest division. $2.4 billion of that $7.7b is from their Chelsea Market purchase.