Common-Size Income Statement
Quarterly Data
Paying user area
Try for free
Alphabet Inc. pages available for free this week:
- Analysis of Profitability Ratios
- Analysis of Solvency Ratios
- DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
- Common Stock Valuation Ratios
- Enterprise Value to FCFF (EV/FCFF)
- Total Asset Turnover since 2005
- Price to Operating Profit (P/OP) since 2005
- Price to Book Value (P/BV) since 2005
- Price to Sales (P/S) since 2005
- Analysis of Debt
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to Alphabet Inc. for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Alphabet Inc., common-size consolidated income statement (quarterly data)
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31).
The common-size income statement reveals several noteworthy trends in the company’s financial performance between March 2021 and December 2025. Revenue consistency is maintained throughout the period, consistently representing 100% of total revenue. However, significant fluctuations are observed in profitability metrics and operating expenses.
- Gross Profit
- Gross profit as a percentage of revenue demonstrated relative stability between March 2021 and December 2021, fluctuating between 56.21% and 57.62%. A decline was then observed, reaching a low of 53.53% in December 2022. From March 2024, gross profit began to increase, peaking at 59.79% in December 2025, indicating improved cost management or pricing strategies.
- Cost of Revenues
- The cost of revenues generally increased as a percentage of revenue, moving from -43.57% in March 2021 to -46.47% in December 2021. This trend reversed in 2022, with costs decreasing to -40.21% by December 2025. This suggests potential efficiencies in production or sourcing costs in the later period.
- Operating Expenses
- Research and development expenses consistently represented a substantial portion of revenue, ranging from -11.56% to -16.43%. A notable increase is observed from March 2024, reaching -16.32% in September 2025. Sales and marketing expenses exhibited a similar pattern, decreasing from -10.09% in December 2021 to -6.84% in March 2025, before a slight increase to -7.22% in September 2025. General and administrative expenses showed a more pronounced decrease, falling from -5.50% to -3.76% in March 2024, but then increasing to -4.69% in September 2025. These expense fluctuations suggest shifts in the company’s investment priorities and operational efficiency.
- Operating Income
- Income from operations as a percentage of revenue demonstrated volatility. It peaked at 32.30% in September 2021, then declined to 23.88% in December 2022. A recovery began in 2024, culminating in 33.92% in March 2025, reflecting the combined impact of revenue trends and expense management.
- Net Income
- Net income as a percentage of revenue mirrored the trends in operating income, with a high of 32.41% in March 2021 and a low of 17.92% in December 2022. A significant increase occurred in 2024 and 2025, reaching 38.28% in March 2025, driven by improvements in operating performance and other income. The impact of the provision for income taxes also fluctuated, influencing the final net income margin.
- Other Income/Expense
- Other income (expense), net, exhibited considerable variability. It was notably high in the earlier periods (8.76% in March 2021), then became negative in some quarters before rising again to 12.47% in September 2025. This suggests the presence of significant non-operating items impacting overall profitability.
Overall, the company experienced a period of fluctuating profitability between 2021 and 2025. While revenue remained consistent, changes in cost of revenues, operating expenses, and other income significantly impacted net income. The latter part of the period (2024-2025) shows a positive trend in profitability, potentially indicating successful cost management and strategic investments.