Revenue, excluding payments to distribution partners, was about $51 billion in the period ended June 30, the Mountain View, California-based company said Tuesday in a statement. Analysts projected $46.1 billion, according to data compiled by Bloomberg. Profit was $27.26 a share, topping the average estimate of $19.35.
After a digital-ads slowdown a year ago during the Covid-19 pandemic, Google’s advertising business has rebounded. The increase in digital advertising sales in the quarter echoed similar results reported last week by social media companies Twitter Inc. and Snap Inc., with all shrugging off any concerns about how the highly contagious Covid-19 delta variant could affect marketing budgets on their platforms. Google, the leader in digital advertising, is on target to finish the year with almost 29% of the global market, according to analyst EMarketer.
The sales growth “reflect elevated consumer online activity and broad-based strength in advertiser spend,” Chief Financial Officer Ruth Porat said in the statement.
In a conference call after the results, Chief Business Officer Philipp Schindler said retail was “by far” the biggest contributor to the bump in advertising, with the travel, financial services,…