Google thanks in part to good app and Nexus 5 sales
Google says good sales of content, apps and hardware through the Play Store contributed to a revenue increase. The Nexus 5 in particular would sell well. Motorola Mobility, which had just been sold, again suffered a significant loss.
Google derives 90 percent of its revenue from the Google Sites and Google Network advertising divisions. The number of paid clicks increased by 31 percent in the fourth quarter of 2013 compared to the previous year and by 13 percent compared to the third quarter of 2013. The average cost-per-click, the value that represents an average click, however, decreased by 11 percent at the end of 2013 compared to the previous year.
Google’s other revenue, which includes sales of content, apps and hardware, was $1.65 billion, or 10 percent of the company’s total revenue. Turnover thus increased by 99 percent compared to the fourth quarter of 2013. According to Google’s financial chief Patrick Pichette, these good figures are due in part to the good sales from the Play Store and good hardware sales, without giving details about this. “The Nexus 5 did very well and the Chromecast was a bestseller throughout the quarter,” he said, according to The Verge. There are rumors that Google will stop with its Nexus line.
Google has also stopped Motorola Mobility: that branch sells the search company to Lenovo for approximately 2.11 billion euros, it turned out on Wednesday. Motorola Mobility suffered a loss of $384 million in the last three months of 2013, $100 million more than the loss of the previous quarter. Total revenue was $16.68 billion and profit was $3.38 billion.