Google’s parent company, Alphabet, recorded a 17 per cent increase reaching USD 20.3 billion in the first quarter of this year. The results highlighted that Google’s ad revenue saw a 16.2 per cent increase to USD 18.02 billion in Q1 while the number of ads jumped 29 per cent.
“Our Q1 results represent a tremendous start to the year with 17 per cent revenue growth year on year and 23 per cent growth on a constant currency basis. We’re thoughtfully pursuing big bets and building exciting new technologies, in Google and our Other Bets, that position us well for long term growth,” said Ruth Porat, CFO of Alphabet.
“The primary driver was the increased use of Mobile Search by consumers, benefiting from our ongoing efforts to enhance the Mobile Search experience. We also benefited from solid growth in desktop and tablet search as well as continued strength in YouTube and programmatic advertising,” Ms Porat added.
YouTube revenue continues to grow at a very significant rate, driven primarily by video advertising across TrueView and Google Preferred, with a growing contribution from app promotion.
Network revenue was USD 3.7 billion, up three per cent year-on-year and down 11 per cent sequentially, continuing to reflect the strong growth of programmatic offset by the traditional network businesses.
Sundar Pichai – Chief Executive Officer, Google, Inc. said, “Google’s mission is to organise the world’s information and make it universally accessible and useful. And after 17 years, we have just scratched the surface of what’s possible. We are reinvigorated around this mission and, as you will hear, we are making solid progress across many of our products.”
Other revenue for Google was USD 2.1 billion, up 24 per cent year-over-year and down one per cent sequentially. Year-over-year performance was driven by Play as well as continued strong growth in cloud and apps and a nice contribution from hardware.