“Google had a strong quarter, we saw 7% year-over-year revenue growth despite the tough economic conditions,” Schmidt said in a release.<\/p>\n
“While there is a lot of uncertainty about the pace of economic recovery, we believe the worst of the recession is behind us and now feel confident about investing heavily in our future,” he said.<\/p>\n
Google reported that net profit for the quarter ending September 30 rose to $1.64-billion, or $5.13 per share, from $1.29-billion, or $4.06 per share, in the same period last year.<\/p>\n
Google’s stock price was buoyed by the earnings report, climbing nearly three percent to more than $545 per share in after-hours trading.<\/p>\n
The California-based firm has continued to profit through the global financial turmoil thanks to revenue from online ads posted with search results.<\/p>\n
It has also starting squeezing advertising money out of video-sharing website YouTube.<\/p>\n
The earnings results come a day after online tracking firm comScore reported that Google increased its share of the US search market to 64.9% in September from 64.6% in August.<\/p>\n
Schmidt said that Google’s acquisitions of YouTube and Internet advertising targeting titan DoublecClick “look as though they will be incredibly successful.”<\/p>\n
Google executives reaffirmed their prediction that YouTube will be profitable “in the not too distant future” and backed the belief by saying that they were making money from more than a billion video views daily at the website.<\/p>\n
The rapidly expanding use of Internet-linked smartphones also promises to translate into more searching and, therefore, more chances for Google to serve up money-making advertising online.<\/p>\n
The numbers of smartphones based on Android operating systems have been swiftly growing since the Google-backed open-source mobile operating system was released less than a year ago.<\/p>\n
“Android’s adoption is clearly about to explode,” Schmidt said. “This is a very critical period.”<\/p>\n
Schmidt added that a premier version of a Chrome Web browser made by Google is on track for release by the end of this year.<\/p>\n
The Google CEO made it clear the Internet giant will be loosening purse strings tightened during the brunt of the economic storm.<\/p>\n
Google will take a bullish course, investing in acquisitions, products and hiring talented people that fit its culture, according to the chief executive.<\/p>\n
The bulk of the hiring Google is looking for is engineering talent, which should be more available in the wake of brutal economic conditions.<\/p>\n
“We’ve been doing very well on the cash generation front throughout this full year,” Schmidt said. “Cash gives us operating flexibility”.<\/p>\n