Shares of Alphabet, which lost roughly 40% of their value in 2022, were down about 2% in after-hours trading.
Revenue from Google advertising, which includes Search and YouTube, fell to $59.04 billion from $61.24 billion, as advertisers - the biggest contributors to Alphabet's sales - dialed back spending to cope with persistent inflation, high interest rates and recession fears.
Big Tech peer Meta Platforms Inc had, however, impressed investors with a quarterly results announcement that featured promises to slash costs and boost offerings to capitalize better on ad dollars. Alphabet's net income fell to $13.62 billion, or $1.05 per share, from $20.64 billion, or $1.53 per share, a year earlier.
Revenue rose to $76.05 billion in the fourth quarter from $75.33 billion a year ago. Analysts were expecting $76.53 billion, according to IBES data from Refinitiv. (Reporting by Nivedita Balu in Bengaluru; Editing by Devika Syamnath)
