Alphabet earnings: Revenue, EPS miss Q4 estimates

Yahoo Finance's Brad Smith breaks down headline numbers from Google parent company Alphabet's earnings.

Video Transcript

BRAD SMITH: And take a look at Google. Alphabet earnings, of course, the parent company of Google, they are out. Shares reacting positively as of right now. Here is what actually came in.

You saw revenue come in at $63.12 billion. That's just a slight miss versus the $63.2 billion that was expected. And then the total revenue-- that's the ex-traffic acquisition cost revenue that I just gave you-- the total revenue that you're going to see as well within this report, $76.05 billion.

So that gives that total acquisition cost, or that traffic acquisition cost, rather, of $12.93 billion here. And then just lastly, the operating margin that I'm looking at as well here on the screen. It looks like that operating margin came in at around 24% for the most recent quarter. The Street was expecting about 23.79%, so we'll call that in line.

But as of right now, taking a look at shares, still-- well, they were reacting positively. As of right now, pivoting a little bit lower here and perhaps on some of those misses-- higher than estimated-- or bigger miss than estimated, I suspect, on the revenue side is what's really being priced in here. Going to continue to dig into some of these results. I also noted YouTube revenue-- that came in at $7.96 billion for the quarter.

SEANA SMITH: You can see the shares off just about 2.5% right now for Alphabet.