Alphabet's revenue growth accelerated again in the first quarter, as advertising and consumer online activity returned to more normal levels. Total sales rose 34 percent to USD 55.3 billion, improving from growth of 23 percent in Q4 and 14 percent in Q3. The company's operating margin increased to 30 percent from 19 percent a year earlier, and net profit more than doubled, to USD 17.9 billion from USD 6.8 billion a year ago.
The Google Cloud business showed the strongest growth, with revenues up 46 percent to USD 4.0 billion. The operating loss from Google Cloud reduced to USD 974 million from USD 1.7 billion a year earlier.
Google Search contributed the bulk of revenues, with growth of 30 percent to USD 31.9 billion. YouTube ads also grew strongly, up 50 percent to USD 6.0 billion, and the Google Network generated USD 6.8 billion in sales, up 30 percent.
The company's 'other bets' contributed an operating loss of USD 1.1 billion on revenues of USD 198 million.
The company's bottom line benefited from a decision to extend the useful life of its servers to four years and network equipment to five years. This reduced depreciation charges by USD 835 million.
Google also announced it will start a new share buyback programme worth USD 50 billion. The company ended the period with total cash and equivalents of USD 135.1 billion, down slightly from USD 136.7 billion in December.
