"We're through the recession," says Google

Posted by Emma Woollacott

Google's business is picking up again, with third quarter revenues up seven percent on the same period last year. The company now says it feels confident about investing heavily in the future.


"The worst of the recession is behind us," said CEO Eric Schmidt.


The company reported revenues of $5.94 billion for the quarter ended September 30, 2009. The US accounted for just under half of this.


Google-owned sites generated revenues of $3.96 billion - 67 percent of total revenues - in the quarter, eight percent up on last year.


Through AdSense programs, Google's partner sites generated revenues of $1.80 billion, 30 percent of the total, up seven percent on last year.


The company has been tightening its belt over the last two quarters, cutting its headcount by about 500. As a result, profits for the quarter grew even faster than revenues, hitting $1,64 billion - up 27 percent on a year ago.


* IBM has also been working to cut costs, largely through automation and outsourcing, and has also seen profits for the quarter rise. Net income was $3.2 billion, up 14 percent on last year, on revenues that  fell by seven percent compared to the same period last year.