It's been about a year and a half now since Alphabet Inc. was created as a parent company for Google and its various "moonshots". Today, the firm announced its earnings for the fourth quarter of its 2016 fiscal year; it brought in revenue of $26.064 billion, with earnings-per-share (EPS) coming in at $9.36 and GAAP EPS at $7.56. This made for a 22% increase in revenue year-over-year (YoY), and a 16% increase from last quarter.
Operating income was $8.485 billion (GAAP $6.639 billion), with an increase in operating margin of 33% (GAAP 25%). Net income was $6.593bn (GAAP $5.333bn), up from last year's $6.043bn (GAAP $4.923bn).
Out of all of that, Google accounted for almost 99% of revenue, generating $25.802bn, up from $21.179bn last year. Operating income for the subsidiary was $7.883bn, with "Other Bets revenues" coming in at just $262 million; however, "Other Bets" had an operating loss of $1.088bn. The good news though is that last year's loss for Other Bets was $1.213bn, and the company referred to this as "strong progress".
Other Bets would include things like Nest, GV (formerly Google Ventures), and all other side-projects like Project Loon. Google includes search, advertising, YouTube, Android, Chrome, and most of the other consumer-facing products that you use.
As far as Google goes, paid clicks increased 20% YoY, although aggregate cost-per-click declined 9%. Paid clicks on Google properties gained 23%, with the cost-per-click on that decreasing by 11%. Finally, paid clicks on Google Network Members' properties increased 6% YoY, with no change in cost-per-click.
The company missed its expectations, which was EPS of $9.64, with its EPS of $9.36. Alphabet attributes its growth in revenue of 22% (24% in constant currency) to mobile search and YouTube.