Google reported its revenues for the fourth quarter at $14.43 billion, which was up 36% for the same period one year ago. The quarterly revenues brought the annual revenue for the Internet search giant to more than $50 billion. It marks the first time in the company’s history that revenues exceeded the $50 billion mark.
Excluding costs for traffic-acquisition, Google saw its net revenue reach $9.83 billion, which was up from last year’s $8.13 billion during the same reporting period. The expectations of analysts’ on Wall Street were eclipsed by the results.
Larry Page, CEO of Google, said the company ended 2012 with a very strong quarter with revenues 36% higher than last year’s fourth quarter and 8% higher than the third quarter of 2012.
On advertising, cost per click increased 2% over the previous three months, but it was down 6% from the same quarter a year ago. The decrease is for the most part due to the fact many consumers today use mobile devices to conduct their search, were the ad rates are lower for Google.
Paid clicks, which are clicks related to the ads that are served on different Google sites and on its partners’ sites, jumped 24% in comparison to the 2011 fourth quarter and was 9% higher than the third quarter of 2012. Advertising revenue overall increased 19%, compared to 2011’s fourth quarter rise of 25%.
Motorola Mobility has continued to be a thorn in the side of Google, reporting a $353 million operating loss in the fourth quarter of 2012. Motorola Home was sold last month to Arris and Google said its revenues in Motorola would have reached $15.2 billion if that unit had been included in the quarterly figures.
Get Analysts' Upgrades and Downgrades Daily - Enter your email address below to receive a concise daily summary of analysts' upgrades, downgrades and new coverage with MarketBeat.com's FREE daily email newsletter.