Alphabet, Google’s parent company, posted significantly higher revenues and profits in the first quarter of 2021. Among other things, the sale of advertisements on YouTube contributed to this. The resulting turnover increased by 50 percent.
The published quarterly figures for the past three months show that YouTube’s advertising revenue has grown significantly. Where that turnover figure in the first quarter of last year was rounded off at 4 billion dollars, advertising on YouTube now yielded 6 billion dollars. That’s not quite as high as the $6.9 billion in sales recorded in the last quarter of last year, but represents an increase of about 50 percent from last year.
These higher turnover figures are mainly due to the corona pandemic and therefore higher user numbers. For example, CNBC wrote early this month based on a Pew survey that 73 percent of American adults used YouTube in 2019. That would have risen to 81 percent by 2021.
Google Search advertising revenue also rose significantly, from $24.5 billion to $31.9 billion. When this revenue figure is combined with ad revenue from YouTube and the Google Network, Alphabet’s total ad revenue comes to $44.7 billion. That was $33.8 billion in the first quarter of last year.
Alphabet also earned more with the Google Other part, which includes revenue from hardware and YouTube subscriptions. In this segment, quarterly revenue rose to $6.5 billion. A year ago it was $4.4 billion.
The company achieved a total turnover of 55.3 billion dollars, compared to 41.2 billion dollars in the same period a year earlier. In particular, profits grew enormously, from 6.8 billion dollars to 17.9 billion dollars now. Alphabet currently employs 139,995 employees, up from 123,048 a year ago.