Google Back On Track In Q2, Beats The Street With Over $9 Billion In Revenue

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Google has just released their Q2 2011 numbers, and after a slightly-off Q1, it looks like Q2 is right back on track for the search giant. They beat the number the Street was expecting across the board. The key one being revenue: Google earned $9.03 billion for the quarter ended June 30, 2011 (a new record for quarterly revenue). The street had been expecting about $8.6 billion.

The revenue numbers were up 32 percent over the year-ago period. As the chart above shows, the Google.com numbers were the real strength here. Google-owned sites generated $6.23 billion in revenues, accounting for 69 percent of total revenues. That was a 39 percent increase over the year ago period.

Non-GAAP earnings-per-share (EPS) were $8.74, well above the $7.86 the Street was hoping for. Non-GAAP net income was $2.85 billion. A year ago, net income was $2.08 billion, and last quarter it was $2.3 billion.

But not everything was entirely rosy. Google says that while the all important paid click numbers were up 18 percent versus a year ago, they were down 2 percent versus last quarter. Cost-per-click were up both on a yearly and quarterly basis. Meanwhile, Traffic Acquisition Costs (TAC) were once again over $2 billion for the quarter, but they continue to go lower as a percentage of advertising revenues.

As of June 30, Google says they have $39.1 billion in cash in the bank (cash, cash equivalents, and marketable securities). Net cash flow in Q2 was $3.52 billion.

Google now has 28.768 full-time employees. That up from 26,316 last quarter. While the net headcount growth was similar to Q1 2011, Google says it does not include the 450 employees that were hired as a part of the ITA deal.

Google even used the earnings release to quickly mention the newly-unveiled Google+ at the top. “I’m super excited about the amazing response to Google+ which lets you share just like in real life,” CEO Larry Page said.

Find the slides below. More to come — the earnings call begins at 1:30 PM PT.