As Congress began to scrutinize its proposed $3.1 billion buyout of ad network DoubleClick, Google (Nasdaq: GOOG) said its net income rose 28.3 percent to $925.1 million, or $2.93 a share, from $721.1 million, or $2.33 a share, a year earlier. Secondly, Google’s Q2 revenues were $3.87 billion for the quarter ended June 30, 2007, an increase of 58 percent year-over-year and an increase of 6 percent compared to Q107. Highlights from the release included:
— Google-owned sites generated revenues of $2.49 billion, representing 64 percent of total revenues, in Q2 – a 74 percent increase over Q206’s revenues of $1.43 billion and a 9 percent gain over Q107 revenues of $2.28 billion.
— Revenues for its AdSense program climbed 36 percent to $1.35 billion (35 percent of total revenues) in Q2. AdSense produced $997 million in revenues for Q206. These results were basically flat compared with the previous quarter.
— After subtracting commissions paid to its advertising partners, Google’s revenue was $2.72 billion — about $40 million above analyst projections.
— Paid clicks, which include clicks related to ads served on Google sites and its AdSense partners, grew roughly 47 percent over the same period the year before and remained about the same as the Q107.
AP: The Q2 represented the first time that Google’s year-over-year profit hasn’t improved by at least 60 percent since the company went public in August 2004. What’s more, it’s just the second time Google’s earnings have fallen below analyst estimates in its 12 quarters as a public company.