Investors not liking the lowered earnings

Revenues of $8.58 billion a 27% increase over first quarter 2010 revenues of $6.77 billion. Paid Clicks Up 18%; Cost Per Click Up 8%:

4:35PM: Larry Page dropped in to say everything is going as planned, specifically the Executive switchover.  Also thanks Jonathan Rosenberg who is usually on these calls but announced his resignation last week..

4:40: CFO Patrick Pichette seems very excited about the numbers below.  Some interesting numbers:

• Chrome is 25% browser marketshare in India, 20m daily users, more than 48% added in last year.
• 350,000 Android activations/day

4:45 Local and Commerce SVP Jeff Huber: New Hires across all lines. Up 1,900 during the quarter. total 26,316 employees
Boasts: Android and Chrome Fastest growing in important categories.  YouTube huge.
Google just published its Q1 earnings numbers which beat the Street's while earnings fell slightly lower that estimates.

4:50  SVP of Ads Susan Wojcicki:  Display Network up 5x since DoubleClick acquisition, doubles in Brazil, UK, and Japan. AdMob has over 150M Android and iOS devices making requests every month.
From the press release:

"We had a great quarter with 27% year-over-year revenue growth," said Patrick Pichette, CFO of Google. "These results demonstrate the value of search and search ads to our users and customers, as well as the extraordinary potential of areas like display and mobile. It's clear that our past investments have been crucial to our success today--which is why we continue to invest for the long term."

Highlights:

• Gross Revenues– Google reported revenues of $8.58 billion in the first quarter of 2011, representing a 27% increase over first quarter 2010 revenues of $6.77 billion.  Net Revenue: $6.54 billion (slightly better than expected).
• Google Sites Revenues – Google-owned sites generated revenues of $5.88 billion, or 69% of total revenues, in the first quarter of 2011.  This represents a 32% increase over first quarter 2010 revenues of $4.44 billion.
• Adsense partner websites: 28% of total revenue, down from 30% last quarter.

• International Revenues – Revenues from outside of the United States totaled $4.57 billion, representing 53% of total revenues in the first quarter of 2011, compared to 52% in the fourth quarter of 2010 and 53% in the first quarter of 2010.

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