Summary:

Google reported its Q1 earnings today:
— Revenues of $3.66 billion, an increase of 63 percent from year-ago quarter and an increase of 14…

Google reported its Q1 earnings today:
— Revenues of $3.66 billion, an increase of 63 percent from year-ago quarter and an increase of 14 percent compared to Q406.
— Net income was $1.0 billion as compared to $1.03 billion in Q406
— Google-owned sites generated revenues of $2.28 billion, or 62 percent of total revenues, a 76 percent increase from year-ago quarter.
— AdSense sites generated revenues of $1.35 billion, or 37 percent of total revenues, a 45 percent increase over network revenues of $928 million generated in Q106.
— Traffic Acquisition Costs, the portion of revenues shared with Google’s partners, increased to $1.13 billion, compared to TAC of $976 million in Q406.
— Foreign revenues came in at $1.71 billion, representing 47 percent of total, compared to 42 percent in Q106. Revenues from the UK totaled $578 million.
— As of March 31, 2007, cash, cash equivalents, and marketable securities were $11.9 billion.
— On a worldwide basis, Google employed 12,238 full-time employees as of March 31, up from 10,674 full time employees as of December 31, 2006.
Earnings release here.
Conference call webcast link here.

From conference call with CEO Eric Schmidt and others:
— Continuing to make investment, primarily in data centers and sales and support.
— Our core business is driving our success.
— YouTube is hugely successful for us.
— Schmidt: Clear Channel deal is not a remnant inventory deal…That is a misperception … it includes a lot of prime inventory…same with Dish Network on the TV ad deal.
— Google is building “Claim You Content” technology for YouTube…the tech does not block upload, but allows us to take down content in a much easier way…media companies can flag that much more easily. These tools are just the beginning.

Update: Staci adds: The transcript from Seeking Alpha is out; a few more notes as I read over:

International: International revenue of $1.7 billion was 47 percent of total revenue. CFO George Reyes: UK was “particulatly strong” — typical for first quarter — with 23 percent sequential growth and revenues of $578 million. Germany, France, Spain, Australia and Japan contributed “meaningfully” to growth. Smaller markets Brazil, Korea and Ireland also are performing very well. Later in the call, they were asked why the UK is doing so well. Omid Kordestani attributed it to UK leadership, a strong economy, outreach to clients and ad agencies. Jonathan Rosenberg added that ad agencies were aggressive with online early on and that the BBC’s popularity keeps TV advertising down: “They were much quicker to move their spending to other outlets and try things more quickly and then discovered that the ROI was high.” Schmidt also said they expect international to produce more than 50 percent of global revenue and that it is a goal.

YouTube: Larry Page: “… we have had tremendous uptake of YouTube, and I would say the growth is accelerating even more.” Sergey Brin listed the various content partnerships for online and mobile while Schmidt played up how complementary YouTube is other parts of Google. He also said the reports from NAB of Claim Your Content “did not really get the gist”: “It is not a filtering system.”

Integration</b: Users who log in tend to use it across multiple services, which allows more personalization and, in turn, creates more reason to use the login. (This is a far different approach than the company that once had as a prime mission sending users to other people's sites.)

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