Ads on Google are getting more clicks than Wall Street expected — but it is costing Alphabet slightly more than estimated to get that traffic.
Alphabet reported third-quarter earnings that topped analysts' expectations on Thursday and revenue that exceeded estimates. Share prices passed $1,020 in after-hours trading — surpassing the all-time intraday high of $1,016.31 set during the regular session on Oct. 18.
Ad prices went down more than expected during the quarter, and traffic costs were higher than forecast — but revenue was boosted by a higher-than-predicted surge in the volume of clicks on Google ads across the world, especially in Asia.
Google is again stressing this quarter "how we're solving big problems and making products that billions of people use every day," Chief Financial Officer Ruth Porat told CNBC's Josh Lipton. "And fundamental to all of this is our focus in building products with AI at their core, and we believe Google is leading the way here."