Google Q4 2012 earnings: $2.89 billion profit from $14.42 billion revenue, but Motorola Mobility is still losing money

Daniel Bader

January 22, 2013 4:41 pm

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It’s earnings season again, and Google’s Q4 2012 report looks good.

The company earned $2.89 billion in profit on revenue of $14.42 billion, a staggering number that was up 36% over the previous year and 8% from the prior quarter.

The bulk of Google’s earnings came from its in-house advertising business, which continues to print money, but much of it came from partner sites and other traffic acquisition means. While advertising revenue from its mobile division was not explicitly mentioned, it’s interesting to note that paid clicks, “which include clicks related to ads served on Google sites and the sites of our Network members,” increased by 24% from a year ago, some of which must be attributable to its increased mobile ad presence on Android and iOS.

Motorola Mobile, the newly-acquired handset division, earned $1.51 billion in revenue but lost $353 million overall. In comparison to last quarter, Motorola Mobility lost less money but earned significantly less revenue, so we’re hoping that Google stops the bleeding somehow. A Motorola X Phone may help the situation immensely.

2012 was the company’s first $50 billion year, which is pretty incredible, and Google now has 37,544 employees, though it’s set to lose 5204 as it sells Motorola’s Home division in the coming months. The company’s market cap is roughly $231 billion based on the last share price, though it should spike on the good news.

Source: TNW

  • ActivesiN

    bring us a motorola nexus!

  • REDRUM

    I guess I need a new motto…
    RIP MOTO

  • mjolnir

    as much as i like the idea of a completely in-house google (moto) phone, i still want to see a HTC nexus… the n1 was amazing and i hope they can do it again.

  • {JPM}

    Who would buy a Moto phone when they have seen just how little support they give after?

    You would think Moto would at least try to correct that image by releasing some updates, but they would rather just cut their losses and pretend that it doesn’t affect new sales.

    • S2556

      With google in charge now and all sanjays phones finished it should be much better hopefully

  • screamer

    I had the razr last year and only got the galaxy because rogers let me upgrade my plan by mistake twice. Lucky me. Otherwise I would of kept it because worked fine with me and with the raxr maxx out…

  • Mexico Ron

    Well, at least google got moto’s vast patent trove. They are going to go thermonuclear on Apple with those.

    • Carlo

      Actually Google had always indicated that they bought them primarily as a defense against Apple & other patent trolls. :-p

    • Mexico Ron

      Yeah, exactly: thermonuclear defense. Exactly what did you think ‘defensive patents’ means? It means, you screw with us, we screw with you. And their patents from Moto are WMD!!!!!

      Look at all the lawsuits they are winning with them!

  • John_hates_blackberry

    How to turn Motorola around : Pure ANDROID PHONE!
    Hasn’t the demand for the Nexus for taught them anything?

  • Thomas

    HTC build quality Nexus, with Nokia Camera,Motorola RAZR MAXX battery and some samsung features(SD)! Omg.. i would keep it for years!

  • Neil

    Given my poor experience with the Motorola atrix, ditching it do to poor quality and lack of customer service, 16 months into a 3 year plan. I am not surprised. I honestly would not use a Motorola product if it were given to me.

    • some guy

      Really…? So someone hands you sayyyyyy, A Motorola Nexus, with top of the line specs, best phone ever created… you not use it.

      I’m calling shenanigans.

  • some guy

    Oops… forgot a “would” in there lol