It's Good to Be the King: Google Reports Record Quarterly Revenue of $65 Billion, Massive Profit Growth
Tech giant Google has once again reported record revenue for the second quarter in a row in 2021. The Masters of the Universe enjoyed revenue growth of 41 percent for the quarter while profits soared 69 percent.
The Verge reports that tech giant Google has posted its Q3 earnings, revealing a new revenue record for the company of $65.1 billion and record profits for the fifth quarter in a row at $18.9 billion. Google’s 2021 growth seems to be fast outpacing the year previously, jumping in revenue by almost $20 billion in 2021 compared to 2020.
Sabo mocks Google CEO Sundar Pichai (unsavoryagents.com)
Google’s revenue in Q3
2021: $65.1 billion
2020: $46.2 billion
2019: $40.5 billion
2018: $33.7 billion
2017: $27.8 billion
2016: $22.5 billion
2015: $18.7 billion
2014: $16.5 billion
2013: $13.8 billion
2012: $13.3 billion
2011: $9.7 billion
2010: $7.3 billion
2009: $5.9 billion
— Jon Erlichman (@JonErlichman) October 26, 2021
Google’s revenue has increased by around 41 percent year-over-year while profits have increased by nearly 69 percent. Google’s Search business posted revenue of $37.8 billion this quarter compared to $35.8 billion last quarter, but the yearly comparison is even more impressive with Search earning $11 billion more in profits this year compared to the same time in 2020.
Sundar Pichai CEO of Google ( Carsten Koall /Getty)
YouTube advertising revenue rose from $7 billion last quarter to $7.2 billion this quarter, a record figure for the division despite fears that Apple’s iOS Ad Tracking Transparency feature would have a negative effect on targeted advertising. Alphabet CFO Ruth Porat stated that Apple’s privacy feature had a “modest” impact on ad revenue.
Google Cloud has yet to be profitable and actually posted operating losses of $644 million compared to the $591 million it lost last quarter. However, overall cloud revenues have grown by $1.5 billion year-over-year to $4.99 billion up from $3.44 billion in 2020.
On the company’s recent earnings call with investors, Chief Business Officer Philipp Schindler explained that while customers are beginning to return to physical stores, Google is also seeing “strong growth in local shopping queries.”
CFO Ruth Porat stated that the growth was due to the continued “broadbased” ad spending and strong consumer interest. Porat started that Google expects to see less growth from its Google Play app store next quarter due to the impact of the new lower fees for subscription apps introduced last week.
Read more at the Verge here.