Google Rides Ads, Apps to $17 Billion Revenue Quarter
Most of this success is based on continued good news in terms of its bread-and-butter business--attracting eyeballs for advertising purposes.Google, with all of its acquisition moves, robot R&D, moonshot ideas and edgy Earthbound projects, above all knows how to run a successful business. This is a company that went public in August 2004 at $85 per share and plainly knows how to make money in the new economy. The stock closed Jan. 30 up $28 on the day at $1,139, and then kept moving north to $1,182 in after-hours trading, up another $43. The Mountain View, Calif.-based search and Web services giant revealed another stellar quarterly earnings report Jan. 30, totaling $16.9 billion--or $9.90 per share--in revenue versus $14.4 billion in the year-ago quarter. Profit was $3.4 billion compared with $2.9 billion in the fourth quarter of 2012. About $10.55 billion of revenue emanated from Google’s sites and $3.52 billion from partner sites, Google said.
Most of this financial success is based on continued good news in terms of its bread-and-butter business--attracting eyeballs for advertising purposes. Paid clicks, which measure volume in Google's advertising businesses, were improved 31 percent over 2012, while the cost per click--a clear measure of the margin on its core business--fell 11 percent year over year.