Google posts third-quarter growth in earnings, but ad revenues trending downward

Google posts third-quarter growth in earnings, but ad revenues trending downward
Google is making a lot of money, but even increasing revenues have not allayed the fears of some investors, who saw the decline in ad-based income to continue its downward trend, sending Google stock down about 3% on Friday.

Paid clicks actually increased by 17% for Google in the third quarter, but that was down from 25% growth in the preceding quarter despite a slowdown in the decline of ad rates. “Cost per click” (CPC) declined only 2% year over year, compared to a previous drop of 6%.

All told, Google made $16.52 billion for the quarter ending September 30th, up from $13.75 billion for the same period last year. Google also announced the appointment of Omid Kordestani as its new Chief Business Officer. On the earnings side, the Wall Street investors were pegging their portfolios to have Google earn $16.75 billion.

What accounts for this comparatively small shortfall in revenues? Well among the aforementioned decline in CPC, Google is spending more money, it has increased its employee base by about 3,000 people. Research and development spending is also up by 46%.

Do not worry about Google’s prospects though, the company is sitting on roughly $60 billion in cash, has a market cap of nearly $350 billion, and is still the overwhelming majority player in search and mobile operating system activity.  Prospects are looking up.

source: Reuters



1. techperson211

Posts: 1280; Member since: Feb 27, 2014

Future skynet.

6. roscuthiii

Posts: 2383; Member since: Jul 18, 2010

Well, more like Cyberdyne as the company name. Skynet would be closer to the final merging of Chrome OS and Android OS.

2. hemedans

Posts: 755; Member since: Jun 01, 2013

say hellow to adblock plus

3. 0xFFFF

Posts: 3806; Member since: Apr 16, 2014

For Firefox, don't forget "Remove Google Tracking" and "NO Google Analytics". The first one removes many of those dumb-ass Google spy-links they pretend are "search results" and the second one partially disables Google's web page analytics.

4. Dastrix unregistered

Ghostery takes care of that.

7. 0xFFFF

Posts: 3806; Member since: Apr 16, 2014

Ghostery is nothing more than spyware pretending to be your friend. REPORT: Web Ad-Blocking Company Sells User Data To Advertisers

8. JC557

Posts: 1919; Member since: Dec 07, 2011

The article isn't saying that. It's revealed at the end. The title is a bit click-baity. Besides, turn off GhostRank as that "anonymously" (not sure if it's really anonymous I turn it off anyway) tracks some data.

9. JC557

Posts: 1919; Member since: Dec 07, 2011

I combine that with Pale Moon 64-bit browser (in lieu of Firefox) and Comodo's Dragon browser or Chromium Secure browser. They all have the snooper options disabled but there are a few more things that can use setting up in the settings tabs. For all Chrome based browsers set it to Incognito mode along with added privacy settings. For FireFox/ Gecko based set it to Private Browsing.

5. Dastrix unregistered

Oh snap

10. cripton805

Posts: 1485; Member since: Mar 18, 2012

Ad based toilet says... "But first, let me show you this ad that you have seen 50x today... Maybe you will buy it now"

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