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Google UK Q1 results: feeling the squeeze - Venture Insights

Report Overview

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Google UK Q1 results: feeling the squeeze

PublisherEnders Analysis.
Publish Date April 24, 2009
Sector Digital Media, Fixed Line (Internet and Voice).
Company Google.

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Google UK delivered solid performance in Q1, with gross revenues up about 8% YoY to £440 million; however, the huge growth of previous years has ended, due to a combination of recession and growing maturity in search.

Key verticals (finance and travel) are being impacted by the downturn, but Google should continue to benefit from the secular shift of advertising to online and increasing advertiser focus on measureable ROI.

We now estimate that Google’s UK gross revenues will rise by 4% this year to £1.66 billion, supported by volume growth in search, with little contribution from display and mobile still firmly rooted in the experimental phase.