The world’s seven largest technology companies – Microsoft, Apple, Alphabet, Amazon, Meta, Nvidia and Tesla – collectively reported a net profit of $143 billion in the second quarter, representing a 27.6% increase year-on-year, according to their financial statements.

Often referred to as the “Magnificent 7,” the firms also saw combined revenues rise to $551.4 billion, up 15.4% compared with the same period last year and 6.6% from the previous quarter. Capital expenditures surged 66.1% annually to $96.8 billion, largely driven by investments in artificial intelligence and data centres.

Alphabet posted the highest net profit among the group at $28.2 billion, followed by Microsoft ($27.2 billion) and Nvidia ($26.4 billion). Tesla recorded the largest quarterly net profit increase of 186.6%, rising from $409 million to $1.2 billion.

Nvidia also achieved the largest growth in net profit value, increasing by $7.6 billion, while Alphabet and Apple saw declines of 18.4% and 5.4% respectively. On an annual basis, Nvidia led net profit growth with 59.2%, followed by Meta (36.2%) and Amazon (34.7%).

In terms of revenue, Amazon topped the group with $167.7 billion, while Tesla led quarterly growth with 16.3%. Capital expenditure was highest at Amazon ($32.2 billion), with Meta recording the largest annual increase of 111.8%.

Earnings per share were highest at Meta ($7.3), followed by Microsoft ($3.7) and Alphabet ($2.3). Tesla’s EPS surged 176.9%, while Alphabet and Apple saw declines.

Analysts say the tech giants’ aggressive investment in AI and long-term infrastructure has been a key factor behind their record capital spending and strong quarterly performance.

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