Google ads gain fuels profit for parent company Alphabet

A rebound in digital ad spending at Google continues to lift its parent company's profit

A continued rebound in digital ad spending at Google drove its parent company's profit up 68% in the third quarter.

Mountain View, California-based Alphabet Inc. said Tuesday that it earned $18.94 billion, or $27.99 per share, in the July-September period. Revenue rose 41% to $65.12 billion.

Analysts polled by FactSet expected earnings of $23.73 per share on revenue of $63.53 billion. Shares slipped less than 1% to $2,763 in after-hours trading.

Google is the world's dominant search engine, owns the biggest mobile operating system in Android and runs the behemoth video site YouTube. It holds 29% of the global $455 billion digital ad market, according to eMarketer, followed closely by Facebook. Both tech giants are benefiting as companies that scaled back on advertising last year during the pandemic pump more money into marketing.