Google fourth-quarter profit nearly triples

Google's fourth-quarter revenue rose 67 percent and profit nearly tripled on continued strength in its cash cow paid search business.

Handily beating analysts estimates, net earnings for the quarter ended December 31 were US$1.03 billion, or US$3.29 a share, including one-time items such as stock-based compensation, compared with US$372 million, or US$1.22 a share, during the same quarter in 2005. Excluding those items, earnings were US$997 million, or US$3.18 a share.

Total revenue for the quarter rose 67 percent to US$3.2 billion, compared to US$1.92 billion a year ago. Excluding traffic acquisition costs, or commission paid to content partners, revenue was US$2.23 billion.

Analysts polled by Thomson Financial were expecting Google to post earnings per share of US$2.92 excluding items, and revenue of US$2.19 billion, excluding traffic acquisition costs.

Paid search represents nearly all of Google's revenue. The company is expanding its advertising platform beyond the Web into radio and print.

"We paid over US$3 billion in 2006 to our partners and this is a figure that we expect is going to increase as we ramp up our video, radio and print programs," founder Sergey Brin said in a conference call with analysts.

Asked about whether the company plans to help companies advertise on television, Chief Executive Eric Schmidt said: "We have already said that we are experimenting with traditional television advertising...There are many reasons to believe that the targeting technology we have invented can apply well, that advertisers will pay much higher rates for ads that are targeted."

As for YouTube, Google suspects content creators will take advantage of the direct link to fans that the video-sharing site provides, said Schmidt. "We can connect the copyright owner with the user," he said. "We're pushing for a model where the people who produce the content get some revenue back." In addition, Google is working on audio and video fingerprinting technologies to protect copyright holders, he said.

When it comes to search, paid clicks on ads on Google's network and its publisher partners' Web sites grew more than 60 percent in the aggregate, according to Chief Financial Officer George Reyes.

While things look rosy for Google, its largest search rival posted more modest fourth quarter results. Last week, Yahoo's earnings were down more than 60 percent from a year ago.

Web traffic to Google grew 24 percent in the fourth quarter from the same period a year earlier and Google accounts for more than half of all Web searches, according to Nielsen/NetRatings. The company is expected to capture two-thirds of the search advertising revenue this year, according to eMarketer.

Google shares, which closed at US$501.50, dropped as much as 2 percent in after-hours trading after the company failed to make so-called "whisper numbers" on the street that were slightly higher than the estimates that they beat. The stock has risen nearly 18 percent over the past year, about the same amount that Yahoo's has fallen.

10 Messages From GOD

I saw this on a website. No matter what your religion, it is nice to read.

1. QUIT WORRYING: Life has dealt you a blow and all you do is sit and worry. Have you forgotten that I am here to take all your burdens and carry them for you? Or do you just enjoy fretting over every little thing that comes your way?

2. PUT IT ON THE LIST: Something needs done or taken care of. Put it on the list. No, not YOUR list. Put it on MY to-do-list. Let ME be the one to take care of the problem. I can't help you until you turn it over to me. And although my to-do-list is long, I am after all... God. I can take care of anything you put into My hands. In fact, if the truth were ever really known, I take care of a lot of things for you that you never even realize.

3. TRUST ME: Once you've given your burdens to Me, quit trying to take them back. Trust in Me. Have the faith that I will take care of all your needs, your problems and your trials. Problems with the kids? Put them on My list. Problem with finances? Put it on My list. Problems with your emotional roller coaster? For My sake, put it on My list. I want to help you. All you have to do is ask.

4. LEAVE IT ALONE: Don't wake up one morning and say, "Well, I'm feeling much stronger now; I think I can handle it from here." Why do you think you are feeling stronger now? It's simple. You gave Me your burdens and I'm taking care of them. I also renew your strength and cover you in my peace. Don't you know that if I give you these problems back, you will be right back where you started? Leave them with Me and forget about them. Just let Me do my job.

5. TALK TO ME: I want you to forget a lot of things. Forget what was making you crazy. Forget the worry and the fretting because you know I'm in control. But there's one thing I pray you never forget. Please, don't forget to talk to Me - OFTEN! I love YOU! I want to hear your voice. I want you to include Me in on the things going on in your life. I want to hear you talk about your friends and family. Prayer is simply you having a conversation with Me. I want to be your dearest friend.

6. HAVE FAITH: I see a lot of things from up here that you can't see from where you are. Have faith in Me that I know what I'm doing. Trust me; you wouldn't want the view from My eyes. I will continue to care for you, watch over you, and meet your needs. You only have to trust Me. Although I have a much bigger task than you, it seems as if you have so much trouble just doing your simple part. How hard can trust be?

7. SHARE: You were taught to share when you were only two years old. When did you forget? That rule still applies. Share with those who are less fortunate than you. Share your joy with those who need encouragement. Share your laughter with those who haven't heard any in such a longtime. Share your tears with those who have forgotten how to cry. Share your faith with those who have none.

8. BE PATIENT: I managed to fix it so in just one lifetime you could have so many diverse experiences. You grow from a child to an adult, have children, change jobs many times, learn many trades, travel to so many places, meet thousands of people, and experience so much. How can you be so impatient then when it takes Me a little longer than you expect to handle something on My to-do-list? Trust in My timing, for My timing is perfect. Just because I created the entire universe in only six days, everyone thinks I should always rush, rush, and rush.

9. BE KIND: Be kind to others, for I love them just as much as I love you. They may not dress like you, or talk like you, or live the same way you do, but I still love you all. Please try to get along, for My sake. I created each of you different in some way. It would be too boring if you were all identical. Please, know I love each of your differences.

10. LOVE YOURSELF: As much as I love you, how can you not love yourself? You were created by me for one reason only -- to be loved, and to love in return. I am a God of Love. Love Me. Love your neighbors. But also love yourself. It makes My heart ache when I see you so angry with yourself when things go wrong. You are very precious to me, don’t ever forget.