Alphabet Announces Fourth Quarter and Fiscal Year 2016 Results

Post by pisarzp » Fri, Jan 27, 2017, 5:12 AM UTC

nyrulez wrote: post #39

aresant wrote: post #7

Editorializing: Paid clicks on Google properties +43% - "yaaay we're driving more paid search!" Cost-per-click on Google properties -16% - "ouch our advertisers are seeing less value on these add'l clicks!" To me the second part of this is going to be most interesting to watch - if the clicks they are onboarding are lower quality, this is going to be a net negative.

It doesn't work like that. Lower CPC does not mean lower value. It just means Google pushing into new eco-systems where CPCs are different from desktop search (e.g. mobile, YT, new publishers/partners) and it may take some time to reach equilibrium among the various actors depending on the ROI of the medium for the respective actors.

Post by jaredsohn » Fri, Jan 27, 2017, 5:45 AM UTC

tajen wrote: post #63

oneplane wrote: post #40

Are we not going to talk about the fact that they are on abc.xyz? I think it's hilarious.

It's fun to have your own extension, isn't it? then you can host http://hooli.xyz as well, which is good fun too (It's the parody website of the equivalent of Google in the TV show "Silicon Valley", which in itself is a good amount of self-irony).

Post by MarkMc » Fri, Jan 27, 2017, 6:08 AM UTC

theDoug wrote: post #65

curun1r wrote: post #57

Earlier quoted context omitted.

They did increase headcount by more than 10k (from ~62k to ~72k). Headcount tends to produce more revenue eventually, but there's a lag. Staffing up by that much indicates that they're predicting significant growth.

(I'm an employee, with clear biases) Precisely this. Large scale infrastructure growth also costs quite a bit, especially when you pay for your own network and other works in progress https://cloud.google.com/about/locations/

Post by shmerl » Fri, Jan 27, 2017, 6:37 AM UTC

sanxiyn wrote: post #76

shmerl wrote: post #70

Earlier quoted context omitted.

I didn't miss it. But it doesn't provide any financial info. And quotes like "Larry Page got tired of it" which were floating around the time that article came out, weren't really helpful. What I want to understand, is Google Fiber profitable or not? Just being "tired" because it grows slower than they expected, isn't a good reason to gut it.

> What I want to understand, is Google Fiber profitable or not? Just being "tired" because it grows slower than they expected, isn't a good reason to gut it. Why is it not a good reason? Even if Google Fiber is profitable, it can still be a bad idea after you consider opportunity cost.

Post by MarkMc » Fri, Jan 27, 2017, 6:49 AM UTC

ucaetano wrote: post #33

MarkMc wrote: post #17

Revenue is up 22% but EPS is up only 7%. I would normally expect Google's EPS growth to be higher than revenue growth. Where are they spending all that extra income?

Taxes.