Attached files
| file | filename |
|---|---|
| EX-99.1 - PRESS RELEASE - GOOGLE INC. | dex991.htm |
| 8-K - CURRENT REPORT ON FORM 8-K - GOOGLE INC. | d8k.htm |
Exhibit 99.2
Google Inc.
CONSOLIDATED BALANCE SHEETS
(In millions)
| As of December 31, 2010* |
As of June 30, 2011 |
|||||||
| (unaudited) | ||||||||
| Assets |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ | 13,630 | $ | 10,320 | ||||
| Marketable securities |
21,345 | 28,798 | ||||||
| Accounts receivable, net of allowance |
4,252 | 4,476 | ||||||
| Receivable under reverse repurchase agreements |
750 | 1,020 | ||||||
| Deferred income taxes, net |
259 | 153 | ||||||
| Income taxes receivable, net |
— | 347 | ||||||
| Prepaid revenue share, expenses and other assets |
1,326 | 1,328 | ||||||
| Total current assets |
41,562 | 46,442 | ||||||
| Prepaid revenue share, expenses and other assets, non-current |
442 | 465 | ||||||
| Deferred income taxes, net, non-current |
265 | — | ||||||
| Non-marketable equity securities |
523 | 893 | ||||||
| Property and equipment, net |
7,759 | 9,003 | ||||||
| Intangible assets, net |
1,044 | 1,381 | ||||||
| Goodwill |
6,256 | 6,677 | ||||||
| Total assets |
$ | 57,851 | $ | 64,861 | ||||
| Liabilities and Stockholders’ Equity |
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| Current liabilities: |
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| Accounts payable |
$ | 483 | $ | 567 | ||||
| Short-term debt |
3,465 | 1,217 | ||||||
| Accrued compensation and benefits |
1,410 | 1,180 | ||||||
| Accrued expenses and other current liabilities |
961 | 1,493 | ||||||
| Accrued revenue share |
885 | 916 | ||||||
| Securities lending payable |
2,361 | 1,936 | ||||||
| Deferred revenue |
394 | 489 | ||||||
| Income taxes payable, net |
37 | — | ||||||
| Total current liabilities |
9,996 | 7,798 | ||||||
| Long-term debt |
— | 2,985 | ||||||
| Deferred revenue, non-current |
35 | 28 | ||||||
| Income taxes payable, non-current |
1,200 | 1,469 | ||||||
| Deferred income taxes, net, non-current |
— | 129 | ||||||
| Other long-term liabilities |
379 | 461 | ||||||
| Stockholders’ equity: |
||||||||
| Common stock and additional paid-in capital |
18,235 | 19,216 | ||||||
| Accumulated other comprehensive income |
138 | 603 | ||||||
| Retained earnings |
27,868 | 32,172 | ||||||
| Total stockholders’ equity |
46,241 | 51,991 | ||||||
| Total liabilities and stockholders’ equity |
$ | 57,851 | $ | 64,861 | ||||
| * | Derived from audited financial statements. |
Google Inc.
CONSOLIDATED STATEMENTS OF INCOME
(In millions, except share amounts which are reflected in thousands and per share amounts)
| Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
| 2010 | 2011 | 2010 | 2011 | |||||||||||||
| (unaudited) | ||||||||||||||||
| Revenues |
$ | 6,820 | $ | 9,026 | $ | 13,595 | $ | 17,602 | ||||||||
| Costs and expenses: |
||||||||||||||||
| Cost of revenues (including stock-based compensation expense of $8, $51, $14, $100) |
2,467 | 3,172 | 4,919 | 6,107 | ||||||||||||
| Research and development (including stock-based compensation expense of $202, $247, $393, $484) |
898 | 1,234 | 1,716 | 2,456 | ||||||||||||
| Sales and marketing (including stock-based compensation expense of $56, $74, $110, $152) |
629 | 1,091 | 1,236 | 2,117 | ||||||||||||
| General and administrative (including stock-based compensation expense of $43, $63, $83, $130) |
461 | 648 | 871 | 1,244 | ||||||||||||
| Charge related to potential resolution of Department of Justice investigation |
— | — | — | 500 | ||||||||||||
| Total costs and expenses |
4,455 | 6,145 | 8,742 | 12,424 | ||||||||||||
| Income from operations |
2,365 | 2,881 | 4,853 | 5,178 | ||||||||||||
| Interest and other income, net |
69 | 204 | 87 | 300 | ||||||||||||
| Income before income taxes |
2,434 | 3,085 | 4,940 | 5,478 | ||||||||||||
| Provision for income taxes |
594 | 580 | 1,145 | 1,174 | ||||||||||||
| Net income |
$ | 1,840 | $ | 2,505 | $ | 3,795 | $ | 4,304 | ||||||||
| Net income per share - basic |
$ | 5.78 | $ | 7.77 | $ | 11.93 | $ | 13.37 | ||||||||
| Net income per share - diluted |
$ | 5.71 | $ | 7.68 | $ | 11.77 | $ | 13.19 | ||||||||
| Shares used in per share calculation - basic |
318,350 | 322,228 | 318,123 | 321,878 | ||||||||||||
| Shares used in per share calculation - diluted |
322,486 | 326,036 | 322,547 | 326,209 | ||||||||||||
Google Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In millions)
| Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
| 2010 | 2011 | 2010 | 2011 | |||||||||||||
| (unaudited) | ||||||||||||||||
| Operating activities |
||||||||||||||||
| Net income |
$ | 1,840 | $ | 2,505 | $ | 3,795 | $ | 4,304 | ||||||||
| Adjustments: |
||||||||||||||||
| Depreciation and amortization of property and equipment |
266 | 347 | 530 | 648 | ||||||||||||
| Amortization of intangible and other assets |
76 | 108 | 143 | 208 | ||||||||||||
| Stock-based compensation expense |
309 | 435 | 600 | 866 | ||||||||||||
| Excess tax benefits from stock-based award activities |
(19 | ) | (9 | ) | (31 | ) | (33 | ) | ||||||||
| Deferred income taxes |
9 | 175 | (4 | ) | 464 | |||||||||||
| Other |
— | 19 | 2 | 55 | ||||||||||||
| Changes in assets and liabilities, net of effects of acquisitions: |
||||||||||||||||
| Accounts receivable |
(243 | ) | (205 | ) | (197 | ) | (24 | ) | ||||||||
| Income taxes, net |
(545 | ) | (171 | ) | (164 | ) | (98 | ) | ||||||||
| Prepaid revenue share, expenses and other assets |
(34 | ) | (70 | ) | (191 | ) | (148 | ) | ||||||||
| Accounts payable |
79 | 50 | 199 | 77 | ||||||||||||
| Accrued expenses and other liabilities |
319 | 260 | (75 | ) | 297 | |||||||||||
| Accrued revenue share |
11 | 39 | 34 | 6 | ||||||||||||
| Deferred revenue |
17 | 36 | 28 | 69 | ||||||||||||
| Net cash provided by operating activities |
2,085 | 3,519 | 4,669 | 6,691 | ||||||||||||
| Investing activities |
||||||||||||||||
| Purchases of property and equipment |
(476 | ) | (917 | ) | (715 | ) | (1,807 | ) | ||||||||
| Purchases of marketable securities |
(12,934 | ) | (13,364 | ) | (25,421 | ) | (20,955 | ) | ||||||||
| Maturities and sales of marketable securities |
11,135 | 8,982 | 20,630 | 13,627 | ||||||||||||
| Investments in non-marketable equity securities |
(227 | ) | (212 | ) | (230 | ) | (343 | ) | ||||||||
| Cash collateral received (returned) related to securities lending |
2,870 | 57 | 2,870 | (424 | ) | |||||||||||
| Investments in reverse repurchase agreements |
— | (445 | ) | — | (270 | ) | ||||||||||
| Acquisitions, net of cash acquired, and purchases of intangible and other assets |
(229 | ) | (715 | ) | (419 | ) | (863 | ) | ||||||||
| Net cash provided by (used in) investing activities |
139 | (6,614 | ) | (3,285 | ) | (11,035 | ) | |||||||||
| Financing activities |
||||||||||||||||
| Net proceeds (payments) related to stock-based award activities |
39 | (28 | ) | 1 | 88 | |||||||||||
| Excess tax benefits from stock-based award activities |
19 | 9 | 31 | 33 | ||||||||||||
| Repurchase of common stock in connection with acquisitions |
(704 | ) | — | (801 | ) | — | ||||||||||
| Proceeds from issuance of debt, net of costs |
— | 5,846 | — | 8,030 | ||||||||||||
| Repayments of debt |
— | (4,869 | ) | — | (7,304 | ) | ||||||||||
| Net cash provided by (used in) financing activities |
(646 | ) | 958 | (769 | ) | 847 | ||||||||||
| Effect of exchange rate changes on cash and cash equivalents |
(57 | ) | 42 | (100 | ) | 187 | ||||||||||
| Net increase (decrease) in cash and cash equivalents |
1,521 | (2,095 | ) | 515 | (3,310 | ) | ||||||||||
| Cash and cash equivalents at beginning of period |
9,192 | 12,415 | 10,198 | 13,630 | ||||||||||||
| Cash and cash equivalents at end of period |
$ | 10,713 | $ | 10,320 | $ | 10,713 | $ | 10,320 | ||||||||
The following table presents our revenues by revenue source (in millions, unaudited):
| Three Months Ended June 30, |
Six Months Ended June 30, |
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| 2010 | 2011 | 2010 | 2011 | |||||||||||||
| Advertising revenues: |
||||||||||||||||
| Google websites |
$ | 4,499 | $ | 6,232 | $ | 8,938 | $ | 12,111 | ||||||||
| Google Network Members’ websites |
2,063 | 2,484 | 4,099 | 4,911 | ||||||||||||
| Total advertising revenues |
6,562 | 8,716 | 13,037 | 17,022 | ||||||||||||
| Other revenues |
258 | 310 | 558 | 580 | ||||||||||||
| Revenues |
$ | 6,820 | $ | 9,026 | $ | 13,595 | $ | 17,602 | ||||||||
The following table presents our revenues, by revenue source, as a percentage of total revenues (unaudited):
| Three Months Ended June 30, |
Six Months Ended June 30, |
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| 2010 | 2011 | 2010 | 2011 | |||||||||||||
| Advertising revenues: |
||||||||||||||||
| Google websites |
66 | % | 69 | % | 66 | % | 69 | % | ||||||||
| Google Network Members’ websites |
30 | % | 28 | % | 30 | % | 28 | % | ||||||||
| Total advertising revenues |
96 | % | 97 | % | 96 | % | 97 | % | ||||||||
| Other revenues |
4 | % | 3 | % | 4 | % | 3 | % | ||||||||
| Revenues |
100 | % | 100 | % | 100 | % | 100 | % | ||||||||