Google ad revenues falls 8% as company grapples with economic headwinds

Internet advertising and search giant Google has conceded that even it is not immune from the economic downturn, with revenue for Q2 slipping slightly to US$38.297bn -a 2% decline on the same quarter last year. $29.867bn came from Google advertising, down 8% on last year’s US$32.949bn.

CEO of Google and its parent company Alphabet, Sundar Pichai, said the economic environment remains fragile, and noted it’s an uncertain time in the world.

“The macroeconomic environment caused by the pandemic created headwinds for our business,” he said. CFO Ruth Porat, however, said the company was “cautiously encouraged” by its Q2 results.

Google’s revenue breakdown for Q2 (Click to enlarge)