Google yesterday published its accounts for the quarter up to 31 March.
Compared with the same quarter last year, revenue increased 23 percent to 6.78 billion dollars. Operating profit increased by 32 percent to 2.49 billion dollars. Profit after tax increased by 37 percent to 1.96 billion dollars.
Google's revenue comes partly from online ads on their own sites and services, partly from partners at the ads placed through AdSense.
Advertising revenues from their own websites increased by 20 percent to 4.44 billion dollars, equivalent to 66 per cent of total turnover. AdSense brought in 2.04 billion dollars. There are 24 percent more than last year, accounting for 30 percent of Google's total revenue.
Revenues increased slightly more outside the U.S. than in the mother country: the "international" part of the turnover was 3.58 billion dollars, corresponding to a ratio of 53 percent. A year ago the percentage was 52 percent.
The company's management describes the first quarter as "very positive". Chief Financial Officer Patrick Pichette said large advertisers have come back.
At the same time that margins were improved, Google increased staff by nearly 800 man-years, and now has 20 621 employees. The company says they will continue to invest heavily in people, products and acquisitions of the year.
According to the U.S. financial press, the figures were slightly better than analysts had expected. Evidently the exchange determined that analysts should have expected more: When the numbers were known Google shares fell 5 percent.
Google says satisfied with the sale of mobile phone Nexus One, without specifying numbers. There was no published information which provides the opportunity to estimate how much Google loses on the ongoing dispute with Chinese authorities.
The ongoing battle with Apple and possible problems with the U.S. competition authorities FTC related to the acquisition of AdMob, was also not commented.
