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Google, AOL Report Earnings

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Google reported strong earnings today, with income of 1.03 billion on revenues of $3.21 billion, up 67 percent year-to-year.

Google-owned sites accounted for $1.98 billion, or 62 percent of total revenues, in the quarter. That's an 80 percent increase over the year before, and a 22 percent increase over the third quarter. AdSense partners brought in 37 percent of revenues.

Google's executives said the company will continue to expand advertiser options as it tests new media, such as mobile and traditional media, and continues to integrate the YouTube library of video feeds.

"Advertisers are now using our targeting platform to place brand advertising across our content network, and they are going to have more options when the YouTube inventory comes online," said Sergey Brin, Google co-founder and president, technology. "The ability to offer premium online and offline inventory, and the control to optimize it, puts us in a position to provide a complete advertising platform for all advertisers."

AOL parent Time Warner profit was up 34 percent, with earnings of $1.75 billion on revenues of $12.5 billion. At the same time, revenues at the AOL unit dropped by 8 percent. Most of that was due to the legacy dial-up losses. Advertising revenue was up 49 percent, marking the third consecutive quarter of more than 40 percent advertising growth.


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