Other revenues (the non-advertising business) came in at $1.95 billion for the quarter, up 19 percent over Q4 2013.

Revenues from outside of the United States totaled $10.23 billion representing 56 percent of total revenues in the fourth quarter of 2014, the same as Q4 2013. Revenue from the United Kingdom came in at $1.66 billion for the fourth quarter, a decline of one percentage point to 9 percent of total revenues compared to Q4 2013.

In Google’s core advertising vertical,  paid clicks increased 14 percent overall in the fourth quarter of 2013 and was up 11 percent over the third quarter of 2014. Paid clicks on Google-owned property were up 25 percent over the same quarter of 2013. Interestingly network paid clicks, ads served by AdSense for Search, AdSense for Content, and AdMob decreased 11 percent over the fourth quarter of 2013, and 7 percent over the third quarter of 2014.

The price of ads continues to drop relative to excess inventory, with the average cost-per-click decreasing 3 percent compared to Q4 2013. Cost-per-click on Google sites decreased 8 percent compared to Q4 2013, but saw an increase of 6 percent quarter on quater on network sites.

Traffic acquisition costs continue to rise, up to  $3.62 billion in Q4 of 2014 compared to $3.31 billion Q4 2013.

Operating costs excluding traffic acquisition, consisting primarily of data center operational expenses, content acquisition costs,  revenue share payments to mobile carriers and original equipment manufacturers, and hardware inventory costs, increased to $3.30 billion in the fourth quarter, up from $2.94 billion Q4 2013.

Despite missing market expectations the market didn’t punish Google: the stock price was up $7.22 (1.41 percent) in after hours trading.

photo: David Paul Morris/Bloomberg