Google, Inc. (
GOOG)
Q4 2010 Earning Call Transcript
January 22, 2010, 6:00 p.m. ET
Executives
Maria Shim - Google - Senior Manager, Investor Relations
Jonathan Rosenberg - Google - Senior Vice President, Product Management
Patrick Pichette - Google - Chief Financial Officer
Nikesh Arora - Google - President, Global Sales Operations
Analysts
Sameet Sinha - JMP Securities
Aaron Kessler - Kaufman Brothers
Ross Sandler - RBC Capital Markets
George Askew - Stifel Nicolaus
Scott Davis - JP Morgan
Jim Friedland - Cowen & Co
Heath Terry - FBR Capital Markets
Richard Fetyko - Merriman Curhan Ford & Co
Mary Meeker - Morgan Stanley
William Morrison - ThinkEquity
James Mitchell - Goldman Sachs
Mark Mahaney - Citigroup
Ben Schachter - Broadpoint AmTech
Justin Post - Bank of America/Merrill Lynch
Brian Pitz - UBS
Spencer Wang - Credit Suisse
Presentation
Operator
Good day and welcome everyone to the Google Inc conference call. This call is being recorded. At this time, I would like to turn the call over to Ms. Maria Shim, Senior Manager of Investor Relations. Please go ahead, ma''am.
Maria Shim
Good afternoon, everyone and welcome to Google''s fourth quarter and fiscal year 2009 earning and follow-up conference call. With us are Patrick Pichette, Chief Financial Officer, Jonathan Rosenberg, Senior Vice President of Product Management and Nikesh Arora is also going to be joining us for the first half hour so if you have specific sales geographic vertical questions for him please address them to him in the first half hour of our call.
After we cover a few housekeeping items, we will begin taking your questions. This call is being webcasted from our investor relations website located at investor.google.com. Please refer to our website for important information including our earnings press release and related slide deck. A replay of this call will also be available in our website in a few hours. Please note that we routinely post important information on our Investor Relations website located at investor.google.com and we encourage you to make use of that resource.
As a reminder, the purpose of this follow-up call is to give participants the opportunity to ask more detailed financial and product questions in an efficient and Reg FD compliant manner. Let me now quickly cover the Safe Harbor.
Some of the statements we make today may be considered forward-looking and these statements involve a number of risks and uncertainties that could cause actual results to differ materially. Please note that these forward-looking statements reflect our opinions only as of the date of this presentation and we undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events. Please refer to our SEC filings including our Annual Report on Form 10-K for the year-ended December 31, 2008, as well as our earnings press release for a more detailed description of the risk factors that may affect our results. Copies can be obtained from the SEC or by visiting this Investor Relations section of our website.
Also, please note that certain financial measures we use on this call such as operating profit and operating margin are expressed in a non-GAAP basis and adjusted to exclude charges relating to stock based compensation. We''ve also adjusted our net cash provided by operating activities to remove capital expenditures which we refer to as free cash flow. Our GAAP results and GAAP to non-GAAP reconciliation can be found in our earnings press release. With that we''re ready to take your questions. Operator?
Question-and-Answer Session
Operator
Thank you. The question-and-answer will be conducted electronically today. If you''d like to ask a question, you may do so by pressing the star key followed by the digit one on your touchtone telephone. If your are using a speakerphone, please make sure your mute button is turned off to allow your signal to reach our equipment. Once again that is star for question and we will pause for just a moment to assemble the roster. And we''ll take our first question from Sameet Sinha from JMP Securities.
Sameet Sinha - JMP Securities
Yes, thank you very much. Just wanted to get down some more details about CPC growth sequentially. Are there any specific instances, I know in the past quarter, about how emerging markets where credit growth has been strong but CPCs are lower, can you help us quantify that impact and secondly, on the CPC question itself, anything specifically in Europe we had heard instances where trademark bidding has kind of slowed down or the efficacy of that has slowed down and you pull-down CPC with it, can you comment on that?
Jonathan Rosenberg
