Google parent company Alphabet on Monday posted earnings and revenue that topped analysts' expectations, as advertising drove strong sales growth.
The technology giant reported fourth-quarter earnings of $8.67 per Class A share on $21.33 billion in revenue. Total sales rose 18 percent from the previous year, as advertising revenue climbed 17 percent. Earnings per share rose from $6.76 the previous year.
Analysts expected Alphabet to post earnings of $8.10 per Class A share on $20.77 billion in revenue, according to a consensus estimate from Thomson Reuters.
"Our very strong revenue growth in Q4 reflects the vibrancy of our business, driven by mobile search as well as YouTube and programmatic advertising, all areas in which we've been investing for many years," said Alphabet Chief Financial Officer Ruth Porat in a statement.
The company's board also authorized a buyback of an additional 514,000 shares.
Its shares jumped as much as 9 percent in after-hours trading before giving up some gains. It reached a level at which it would surpass Apple as the most valuable U.S. company by market cap if it opened there on Tuesday. (Click here to track the stock.)