EX-99.2 3 dex992.htm FINANCIAL TABLES FOR THE QUARTER AND YEAR ENDED DECEMBER 31, 2007 Financial tables for the quarter and year ended December 31, 2007

Exhibit 99.2

Google Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

 

     December 31,
2006*
   December 31,
2007
          (unaudited)

Assets

     

Current assets:

     

Cash and cash equivalents

   $ 3,544,671    $ 6,081,593

Marketable securities

     7,699,243      8,137,020

Accounts receivable, net of allowance

     1,322,340      2,162,521

Deferred income taxes, net

     29,713      68,538

Income taxes receivable

     —        145,253

Prepaid revenue share, expenses and other assets

     443,880      694,213
             

Total current assets

     13,039,847      17,289,138

Prepaid revenue share, expenses and other assets, non-current

     114,455      168,530

Deferred income taxes, net, non-current

     —        33,219

Non-marketable equity securities

     1,031,850      1,059,694

Property and equipment, net

     2,395,239      4,039,261

Intangible assets, net

     346,841      446,596

Goodwill

     1,545,119      2,299,368
             

Total assets

   $ 18,473,351    $ 25,335,806
             

Liabilities and Stockholders’ Equity

     

Current liabilities:

     

Accounts payable

   $ 211,169    $ 282,106

Accrued compensation and benefits

     351,671      588,390

Accrued expenses and other current liabilities

     266,247      465,032

Accrued revenue share

     370,364      522,001

Deferred revenue

     105,136      178,073
             

Total current liabilities

     1,304,587      2,035,602

Deferred revenue, long-term

     20,006      30,249

Deferred income taxes, net

     40,421      —  

Income taxes payable, long-term

     —        478,372

Other long-term liabilities

     68,497      101,904

Stockholders’ equity:

     

Common stock

     309      313

Additional paid-in capital

     11,882,906      13,241,221

Accumulated other comprehensive income

     23,311      113,373

Retained earnings

     5,133,314      9,334,772
             

Total stockholders’ equity

     17,039,840      22,689,679
             

Total liabilities and stockholders' equity

   $ 18,473,351    $ 25,335,806
             

 

* Derived from audited financial statements.


Google Inc.

CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except per share amounts)

 

     Three Months Ended
December 31,
   Twelve Months Ended
December 31,
     2006    2007    2006*    2007
     (Unaudited)    (Unaudited)

Revenues

   $ 3,205,498    $ 4,826,679    $ 10,604,917    $ 16,593,986

Costs and expenses:

           

Cost of revenues (including stock-based compensation expense of $10,874, $6,255, $17,629, $22,335)

     1,283,148      1,955,825      4,225,027      6,649,085

Research and development (including stock-based compensation expense of $82,122, $161,372, $287,485, $569,797)

     386,806      630,783      1,228,589      2,119,985

Sales and marketing (including stock-based compensation expense of $14,502, $38,085, $59,389, $131,638)

     255,206      422,291      849,518      1,461,266

General and administrative (including stock-based compensation expense of $26,929, $39,588, $93,597, $144,876)

     219,744      377,046      751,787      1,279,250
                           

Total costs and expenses

     2,144,904      3,385,945      7,054,921      11,509,586
                           

Income from operations

     1,060,594      1,440,734      3,549,996      5,084,400

Interest income and other, net

     124,139      167,294      461,044      589,580
                           

Income before income taxes

     1,184,733      1,608,028      4,011,040      5,673,980

Provision for income taxes

     154,017      401,579      933,594      1,470,260
                           

Net income

   $ 1,030,716    $ 1,206,449    $ 3,077,446    $ 4,203,720
                           

Net income per share - basic

   $ 3.36    $ 3.86    $ 10.21    $ 13.53
                           

Net income per share - diluted

   $ 3.29    $ 3.79    $ 9.94    $ 13.29
                           

Shares used in per share calculation - basic

     306,906      312,251      301,403      310,806
                           

Shares used in per share calculation - diluted

     313,459      317,925      309,548      316,210
                           

 

* Derived from audited financial statements.


Google Inc.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

 

     Twelve Months Ended
December 31,
 
     2006*     2007  
           (Unaudited)  

Operating activities

    

Net income

   $ 3,077,446     $ 4,203,720  

Adjustments:

    

Depreciation of property and equipment

     494,430       807,743  

Amortization of intangibles and other

     77,509       159,915  

Stock-based compensation

     458,100       868,646  

Excess tax benefits from stock-based award activity

     (581,732 )     (379,206 )

Deferred income taxes

     (98,468 )     (164,212 )

Other

     12,474       (39,741 )

Changes in assets and liabilities, net of effects of acquisitions:

    

Accounts receivable

     (624,012 )     (837,247 )

Income taxes, net

     496,882       744,802  

Prepaid revenue share, expenses and other assets

     (289,157 )     (298,689 )

Accounts payable

     95,402       70,135  

Accrued expenses and other liabilities

     291,533       418,905  

Accrued revenue share

     139,300       150,310  

Deferred revenue

     30,801       70,329  
                

Net cash provided by operating activities

     3,580,508       5,775,410  
                

Investing activities

    

Purchases of property and equipment

     (1,902,798 )     (2,402,840 )

Purchases of marketable securities

     (26,681,891 )     (15,997,060 )

Maturities and sales of marketable securities

     23,107,132       15,659,473  

Investments in non-marketable equity securities

     (1,019,147 )     (34,511 )

Acquisitions, net of cash acquired, and purchases of intangible and other assets

     (402,446 )     (906,651 )
                

Net cash used in investing activities

     (6,899,150 )     (3,681,589 )
                

Financing activities

    

Net proceeds from stock-based award activity

     321,117       23,861  

Net proceeds from a public stock offering

     2,063,549       —    

Excess tax benefits from stock-based award activity

     581,732       379,206  
                

Net cash provided by financing activities

     2,966,398       403,067  
                

Effect of exchange rate changes on cash and cash equivalents

     19,741       40,034  

Net (decrease) increase in cash and cash equivalents

     (332,503 )     2,536,922  

Cash and cash equivalents at beginning of year

     3,877,174       3,544,671  
                

Cash and cash equivalents at end of year

   $ 3,544,671     $ 6,081,593  
                

 

* Derived from audited financial statements.


The following table presents our revenues, by revenue source, for the periods presented (in thousands, unaudited):

 

     Three Months Ended
December 31,
   Twelve Months Ended
December 31,
     2006    2007    2006    2007

Advertising revenues:

           

Google web sites

   $ 1,977,042    $ 3,121,539    $ 6,332,797    $ 10,624,705

Google Network web sites

     1,197,867      1,635,836      4,159,831      5,787,938
                           

Total advertising revenues

     3,174,909      4,757,375      10,492,628      16,412,643

Licensing and other revenues

     30,589      69,304      112,289      181,343
                           

Revenues

   $ 3,205,498    $ 4,826,679    $ 10,604,917    $ 16,593,986
                           

The following table presents our revenues, by revenue source, as a percentage of total revenues for the periods presented (unaudited):

 

     Three Months Ended
December 31,
    Twelve Months Ended
December 31,
 
     2006     2007     2006     2007  

Advertising revenues:

        

Google web sites

   62 %   65 %   60 %   64 %

Google Network web sites

   37 %   34 %   39 %   35 %
                        

Total advertising revenues

   99 %   99 %   99 %   99 %

Licensing and other revenues

   1 %   1 %   1 %   1 %
                        

Revenues

   100 %   100 %   100 %   100 %