Google has recorded mixed financial results in its quarterly earnings, with a global revenue boost off the back of advertising growth despite a fall in the cost-per-click of its ads.
The tech giant's global revenue increased by 12% in the three months to 31 March compared to its Q1 2014 results, reaching total revenue of US$17.258 bn ($22.19bn).
But its advertising results were more mixed. Ad revenue for Google reached US$15.508bn over the quarter, a boost of 11% from its Q1 2014 result but a drop of 5% from the previous quarter result. Aggregate paid clicks also increased 13% year on year.
However Google's aggregate cost-per-click dipped 7% year on year and 5% from the previous quarter. Cost-per-click on Google websites fell 13% year on year and 3% quarter on quarter, while cost-per-click on Google Network Members' websites increased 2% year on year but dropped 11% on a quarter-by-quarter result.
In a statement Google CFO Patrick Pichette said: “Excluding the net impact of foreign currency headwinds, revenue grew a healthy 17% year on year. We continue to see great momentum in our mobile advertising business and opportunities with brand advertisers.”
It follows results from Facebook earlier in the week, noting a boost in revenue off the back of its mobile usage. Facebook has been making a big play in advertising in the video space, which Google's YouTube has been the market leader in.
Google unveiled changes to the way its search function works by rewarding mobile-friendly websites and penalising those which aren't. The changes impact only search rankings on mobile devices and individual pages, but point to an area of focus for the tech player.
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.