Google reports its revenues, consistent with GAAP, on a gross basis without deducting traffic acquisition costs, or TAC. In the fourth quarter of 2007, TAC totaled $1.44 billion, or 30 pc of advertising revenues. "We're very pleased with our performance this quarter," said Eric Schmidt, CEO of Google. "It reflects strong momentum in our core business, growing receptivity to our new business initiatives, and improved discipline in managing our operating expenses."
Q4 Financial Highlights
Google Sites Revenues - Google-owned sites generated revenues of $3.12 billion, or 65 pc of total revenues, in the fourth quarter of 2007. This represents a 58 pc increase over fourth quarter 2006 revenues of $1.98 billion and a 14 pc increase over third quarter 2007 revenues of $2.73 billion.
On a worldwide basis, Google employees 16,805 full-time employees as of December 31, 2007, up from 15,916 full-time employees as of September 30, 2007.