Google posted £US50 billion (£31.5 billion) in revenues for the financial year, up 36% year-on-year.
Following a wobble in form with its third quarter announcements, where a leak of its earnings showed Google had posted worse than expected financial results with a resulting drop in share price, the company appeared to be back on track, with fourth quarter revenue totalling $US 14.4 (£9.1) billion, up 36% compared with Q4 2011.
Chief executive of Google Larry Page said the company posting $US50 billion in revenues for the first time last year was “not a bad achievement” in just 15 years.
“In today’s multi-screen world we face tremendous opportunities as a technology company focused on user benefit. It’s an incredibly exciting time to be at Google.”
The breakdown, including mobile
Google revenues, including advertising, were $US12.9 billion (£8.1 billion) in Q4 2012, up 22% on Q4 2011. Its own sites generated $US8.6 billion (£5.4 billion), up 18% on Q4 2011. Partner sites generated $US 3.4 billion (£2.1 billion), up 19% on Q4 2011.
Google’s net income (GAAP) was $US2.9 billion (£1.8 billion), up from Q4 2011 at $US2.7 billion (£1.7 billion).
Paid clicks increased 24% over Q4 2011 and 9% over Q3 2012.
However cost-per-click, or the price paid by advertisers, decreased by 6% over Q4 2011 and increased 2% over Q3 2012, with the shift to mobile affecting the value of Google’s business, the Guardian reported.
Motorola, meanwhile, would take some time but profitability was the aim.
Google purchased the company last year for $US12.5 billion (£7.9 billion) and sold its Motorola Home business this year for $US2.4 billion (£1.5 billion), presented as a loss from discontinued operations on the consolidated statements of income and were excluded from all other results unless noted otherwise.
It reported Motorola Mobile revenues were $US1.5 billion (£0.9 billion), or 11% of consolidated revenues for Q4 2012.
Google senior vice president and chief financial officer Patrick Pichette said when Google purchased the company, it took on the associated deals and product offerings Motorola already had in place with customers, some 12 to 18 months of work, Android Central reported.
While improvements had been made, such as the sale of Motorola home, the changes would take time.
“It’s just the nature of the beast when you’re reinventing a business.”
Profitability was the goal, as it was in every one of the areas Google invested in, Mr Pichette said.
“We’re not in the business of losing money with Motorola.”