Q4 2009 Quarterly Earnings Summary
May 06, 2015
Q4 2009 Quarterly Earnings
Summary
Fourth Quarter 2009 HighlightsRevenue growth of 17% Y/Y and 12% Q/Q
Google properties revenue growth of 16% Y/Y and 12% Q/QNetwork revenues increased 21% Y/Y and 13% Q/QInternational revenues were $3.5 billion
Operational HighlightsStrong financial metrics: revenue growth, profitability, and cash flow
Investing in technological innovation: 70/20/10Innovation in our more established business
Search, Display, Enterprise
Innovation in our new businesses
Mobile/Android
Innovation in long-view investments
Commerce and social
Quarterly Revenues
($ in millions)
Q4’09 Y/Y Growth = 17%Q4’09 Q/Q Growth = 12%
5,186
5,367
5,541
5,701 5,50
95,523
5,945
6,674
U.S. vs. International Revenues
48%
52%
49%
51%
5,186
49%
51%
5,367 5,541 5,701
50%
50%
52%
48%
5,509 5,523
53%
47%
($ in millions) 6,674
53%
47%
5,945
53%
47%
Traffic Acquisition Costs
($ in millions)
Costs and Expenses
Note: Please refer to supporting Table 1 for reconciliations of non-GAAP costs and expenses to GAAP costs and expenses
Profitability
Note: Please refer to supporting Table 2 for reconciliations of non-GAAP results of operations measures to the nearest comparable GAAP measures
Free Cash Flow
Overview of Q4 2009 OI&E and FX
In Interest Income and Other, Net, we recognized net income of $88M for Q4
In Q4, the interest income earned on our investments was $67M and we recognized $27M in realized gains.
As a result of foreign exchange rates moving closer to the strike prices of our options in Q4 relative to Q3, we expensed only $8M related to our FX cash flow hedging program vs. $67M in Q3.
Before hedging, the weaker USD relative to other currencies during the quarter had a positive impact of $112M on revenue compared to Q3 and a positive impact of $196M compared to Q4’08.
In addition to the positive impact on revenue quarter-over-quarter and year-over-year due to more favorable FX rates, our cash flow FX hedging programs allowed us to recognize a benefit of approximately $8M to international revenue this quarter.
Table 1 - Reconciliations of non-GAAP costs and expenses to GAAP costs and expenses
Table 2 - Reconciliations of non-GAAP results of operations measures to the nearest comparable GAAP measures
Q4 2009 Quarterly Earnings
Summary