Google’s Earnings Smash Expectations

Google bucks the odds again, somehow managing to beat the highest of all expectations. Their latest earnings report is in, and it’s a nice one. The short:

Revenue: $4.23 billion, up 9% over the last quarter and 57% over the third quarter of last year.
GAAP operating income: $1.32 billion, 31% of revenue, up from $1.1 billion and 29% the previous quarter. Non GAAP: $1.52 billion and 36%, up from $1.35 and 35%.
GAAP net income: $1.07 billion, up from $925 million. Non-GAAP: $1.24 billion, up from $1.12.
GAAP earnings per share: $3.38. Non-GAAP: $3.91
Traffic Acquisition Costs: $1.22 billion, 29% of ad revenue.
Stock-based compensation: $198 million, reduced from $242 million.
Google Site revenue: $2.73 billion, 65% of total, a 10% increase.
Google Network (AdSense) revenue: $1.45 billion, 34% of total, an 8% increase.
Paid clicks: Up 5%.
AdSense payouts: $1.22 billion.
Other cost of revenue (data centers and credit card processing): $441 million, up […]

Original post by Nathan Weinberg