The California based technology giant has reported that it has achieved an increase of 35% in the yearly revenues from its Indian division.
Alphabet, Inc., reported 35% increase in yearly revenue in its Indian division. Since 2014, the growth in the tech giant’s revenue growth has slowed down but in the past two years the American tech company’s business has doubled. Initially the growth rate was 47% from which it has come down to 35%.
In March 2015, the Indian division of the world’s largest media owner was reported to be approximately Rs.4, 108 crore in comparison to fiscal year 2013-14. The sole driver of the US technology giant’s revenue has come from advertising services. These are the services that the tech giant providers to third part companies which are ads that are displayed next to the search results. Reporters asked the Managing Director for Southeast Asia and India, Rajan Anandan who declined to comment on the results.
India had the third largest number of internet users in the world at 243.2 million as of 2014; by October 2015, the country had over 375 million user base, as per the report by IAMAI – Internet and Mobile Association of India. By the end of the year, it is expected that India will cross the user base of the United State and come in second number from China. The country has grown in emerging markets and has managed to attract the younger generations specifically the millennials with all the telecom, automobile, mobile and e-commerce markets.
Over 10% of Hindustan Unilever is spends on advertising on digital media which makes it the country’s largest advertiser. An average of $ 1 billion is expected to go into advertisements in 2015. This still is not enough for a huge company like Google.
Currently, Google stock is being traded at $750.42 per share indicating a decline of -1.27%, as of December 14, 2015. In the pre-market trading the stock of the tech giant was at 747.47 indicating a decrease of 0.39%. The current market capitalization of Google, Inc. is 512.09 billion with the earnings per share at 21.26. The price to earnings ratio of the search engine giant is $35.30. The 52-week high of the California Based technology company is $793.05 and the 52-week low is $490.91.
In other news, the tech company, for the first time, collaborated with Huawei to manufacture its Nexus 6P smartphone and according to recent rumors both the companies are coming together to work on Nexus 6 which is expected to release sometime in 2016. This news came from Gizmo China’s industry expert Pan Jiutang that the tech giant’s next Nexus 6P will be a Huawei product.