Though Google’s revenues are usually on the up and up, it becomes clearer at the end of each quarter that the company is sinking its money into some lofty projects.
The revenues reported for the first quarter of 2016 by Google’s parent company Alphabet totalled $20.2-billion USD, up 17 percent from this time last year and leading to a quarterly net revenue of $4.2 billion.
In addition, the company’s operating revenue increased from last year by approximately 20 percent to $5.3 billion.
Last August, Google divided up its enterprise under its parent company Alphabet, which now presides over two separate branches; Google and Other Bets.
Based on the quarterly report, the Google segment still makes up the vast majority of the company’s revenues, at approximately $20.1 billion, with only $166 million being dedicated to Other Bets.
Not only is that number up from a reported $80 million from this time last year, but the operating losses for Other Bets came in at $802 million.
The tech giant has always been innovative, but this year seems to top the charts with an increased focus on 360 video, virtual reality, self-driving cars, etc., and the numbers prove it. Much like last quarter’s results, Google seems to be digging into some profit-burning projects.
In a statement sent to MobileSyrup, Alphabet’s CFO Ruth Porat said, “We’re thoughtfully pursuing big bets and building exciting new technologies, in Google and our Other Bets, that position us well for long term growth.”
However, the results this quarter are still incredibly encouraging. In addition to the costs generated by some of the company’s more forward-looking projects, the Google segment of Alphabet also produced over $14 billion USD.
In addition to the 17 percent jump in revenue, the company has also experienced a 23 percent increase on a constant currency basis.
Advertising revenues brought in approximately $18 billion USD, up 16 percent from the same period last year.
The focus has shifted somewhat since the tech giant’s last earnings release. As part of Google’s Q4 2015 results, the company pledged to further develop its line Nexus of smartphones.
This time around, the focus of the results seems to be on Google’s most innovative divisions, currently at work developing the technology of the future.
Related Reading: Google Q4 revenue soars on higher mobile ad earnings