Google 2010 Annual Report Download - page 42

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Results of Operations
The following table presents our historical operating results as a percentage of revenues for the periods
indicated:
Year Ended December 31,
2008 2009 2010
Consolidated Statements of Income Data:
Revenues ...................................................................... 100.0% 100.0% 100.0%
Costs and expenses:
Cost of revenues ........................................................... 39.6 37.4 35.5
Research and development .................................................. 12.8 12.0 12.8
Salesandmarketing ........................................................ 8.9 8.4 9.5
Generalandadministrative................................................... 8.3 7.0 6.8
Total costs and expenses ........................................................ 69.6 64.8 64.6
Income from operations .......................................................... 30.4 35.2 35.4
Impairment of equity investments ................................................. (5.0) 0 0
Interestandotherincome,net .................................................... 1.5 0.3 1.4
Income before income taxes ...................................................... 26.9 35.5 36.8
Provisionforincometaxes ....................................................... 7.5 7.9 7.8
Net income ..................................................................... 19.4% 27.6% 29.0%
Revenues
The following table presents our revenues, by revenue source, for the periods presented (in millions):
Year Ended December 31,
2008 2009 2010
Advertising revenues:
Google websites .................................................... $14,414 $ 15,723 $ 19,444
Google Network websites ............................................ 6,715 7,166 8,792
Total advertising revenues ................................................ 21,129 22,889 28,236
Otherrevenues .......................................................... 667 762 1,085
Revenues ............................................................... $21,796 $ 23,651 $ 29,321
The following table presents our revenues, by revenue source, as a percentage of total revenues for the
periods presented:
Year Ended December 31,
2008 2009 2010
Advertising revenues:
Googlewebsites ............................................................ 66% 67% 66%
GoogleNetworkwebsites .................................................... 31 30 30
Totaladvertisingrevenues ............................................... 97 97 96
Google websites as % of advertising revenues . . . . . . . . . . . . . . . . . . . . . . . . . 68 69 69
Google Network websites as % of advertising revenues . . . . . . . . . . . . . . . . . 32 31 31
Otherrevenues.................................................................. 3% 3% 4%
The increase in our revenues from 2009 to 2010 resulted primarily from an increase in advertising revenues
generated by Google websites and Google Network members’ websites and, to a lesser extent, an increase in other
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