Google revenue up 33% in Q3
Google reported $9.72 billion in revenue for the third quarter of 2011, a 33% increase compared with Q3 2010. Google's advertising revenue generated 96% of total revenue during the third quarter.
Advertising revenue generated $9.34 billion, an increase of 33% compared with Q3 2010. Advertising on Google-owned sites generated $6.74 billion in revenue, a 39% increase year-over-year, and contributed 69% of Google's overall advertising revenue.
Susan Wojcicki, SVP of advertising at Google, said during an Oct. 13 earnings call that socially annotated paid search ads or organic results have performed better than their non-annotated counterparts.
Net income increased by 26% year-over-year to $2.73 billion, and earnings per share was up by 24% to $8.33, beating analysts' expectations.
Consumers clicked on 28% more Google-served ads in Q3 compared with the same period last year. The average cost advertisers pay for each click rose 5% year-over-year but fell 5% compared with the previous quarter.
Google paid $1.83 billion to advertisers that use its AdSense product to run search and display ads on the company's network of third-party sites, an increase of 20% compared with the prior year.
During the quarter, Google spent $1.2 billion on sales and marketing, an 82% increase compared with Q3 2010.
The company added 2,585 full-time staffers during the third quarter, increasing the total headcount to 31,353 employees.