Google ad surge drives Alphabet Q3 revenues to $27.8bn

27 Oct 20174 Shares

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Google. Image: Bychykhin Olexandr/Shutterstock

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Google paid clicks were up by a whopping 55pc in the crucial third quarter.

Internet giant Alphabet exceeded expectations with a monster $27.8bn revenue quarter, up 24pc on last year.

The strong Q3 was driven by a surge in paid clicks on Google properties, which were up 55pc on last year.

‘Our momentum is a result of investments over many years in fantastic people, products and partnerships’
– RUTH PORAT

Google delivered all but $302m of the $27.8bn quarter.

This $302m came from Alphabet’s Other Bets group, which focuses on areas such as autonomous vehicles, connected health and robotics, to name a few.

Losses from Other Bets were down to $814m compared with $861m last year, suggesting that these bets are finally showing signs of paying off.

Internet advertising juggernaut continues to roll

According to Alphabet, Google advertising revenues jumped from $19.8bn last year to $24bn. Of this, Google properties revenues were $19.7bn and network members’ properties contributed $4.3bn.

Alphabet’s operating income was about $7.8bn.

However, traffic acquisition costs rose to $3.1bn compared with $2.6bn last year.

“We had a terrific quarter, with revenues up 24pc year on year, reflecting strength across Google and Other Bets,” said Ruth Porat, CFO of Alphabet.

“Our momentum is a result of investments over many years in fantastic people, products and partnerships.”

In Dublin, Google employs more than 5,000 people directly and indirectly, and the company is believed to be planning a major 400-job expansion in the city.

Google. Image: Bychykhin Olexandr/Shutterstock

Editor John Kennedy is an award-winning technology journalist.

editorial@siliconrepublic.com