Alphabet’s profit dropped 14 percent in the second quarter.

Google’s search engine enterprise is demonstrating resilience within the face of a slowing financial system and rising inflation, however its different companies haven’t been capable of escape a downturn in internet marketing.

Google’s mother or father firm, Alphabet, reported on Tuesday a web revenue of $16 billion within the second quarter, down 14 % from a yr earlier, whereas income climbed 13 % to $69.7 billion. The earnings had been under analysts’ estimates of $17.5 billion in revenue on $69.9 billion in income, in accordance with knowledge compiled by FactSet.

Lifted by retail and journey advertisers, the corporate’s search advert gross sales grew greater than 13 % to $40.7 billion, above analysts’ expectation of $40.2 billion. Advert gross sales for Google’s search engine — a vital gateway to the web — proved much less weak to financial situations than YouTube, which Google owns, and the corporate’s community division that locations digital adverts on varied websites throughout the web.

Tuesday’s earnings report “supplies extra proof that Google search advert income in all fairness recession-resistant,” Mark Mahaney, an analyst at Evercore ISI, stated in an interview.

Even with the monetary cushion of its in style merchandise, Google should take care of a raft of uncertainties which have roiled world markets in current months. These embrace slowing financial development and rising inflation in america and different main economies, which affect promoting budgets and shopper habits — each essential to Google’s enterprise. The corporate should additionally navigate results from a persistent pandemic and Russia’s invasion of Ukraine.

Alphabet, identified for its fast personnel expansions, has exercised warning in response to the macroeconomic atmosphere, saying it should sluggish hiring for the remainder of the yr and put a precedence on the roles it wants.

Shares of Alphabet rose 5 % in after-hours buying and selling.

Ruth Porat, Alphabet’s chief monetary officer, had warned that Alphabet’s development could seem extra modest due to unfavorable comparisons within the second quarter. Within the earlier spring, monetary outcomes had been indicative of a restoration for the reason that early days of the pandemic, when advertisers had been spooked. The latest quarter additionally mirrored the corporate’s choice to halt enterprise in Russia due to the battle. In 2021, Russia contributed 1 % to Google’s whole income.

Advert income for YouTube, the most well-liked vacation spot for on-line movies, grew 5 % within the three months that ended on June 30, to $7.3 billion. This was a decline from 14 % development within the first quarter. Moreover weaker spending from advertisers, Ms. Porat stated, YouTube’s outcomes appeared extra meager due to troublesome comparisons from a yr earlier.

The pullback in spending on YouTube and Google’s promoting community by “some advertisers within the second quarter displays uncertainty about plenty of elements,” Ms. Porat stated on a name with monetary analysts.

The corporate’s revenue was dented by rising prices and losses on some investments. Ms. Porat stated Google had spent extra on knowledge facilities and hiring within the second quarter. The corporate additionally recorded a $790 million loss from debt investments, and a $251 million loss from inventory holdings.

Alphabet stated it now had 174,014 staff, a rise of greater than 10,000 from the determine it reported in April. Like lots of its friends, the corporate has since stated it should sluggish hiring.

Google’s cloud computing unit posted a 36 % enhance in income, although it misplaced $858 million within the second quarter. A yr earlier, the division posted a lack of $591 million. The unit nonetheless lags behind rival companies from Amazon and Microsoft.