Google India Gross Ads Revenue Rises 11% in FY25, Net Income Slips on Higher Costs

Google India recorded strong growth in gross advertising revenue during FY25, driven by sustained demand across digital platforms. However, rising costs linked to advertising space procurement weighed on net revenue and overall operational performance. 

Advertising Revenue and Cost Pressures 

According to filings with the Registrar of Companies accessed via business intelligence platform Tofler, Google India’s gross advertising revenue rose 11.3% year-on-year to ₹34,742 crore in FY25, compared with ₹31,221 crore in FY24. 

Despite this growth, net advertising revenue declined 2% to ₹2,694.4 crore from ₹2,743.4 crore a year earlier. The contraction was largely due to higher payouts to Google Asia Pacific for purchasing advertising inventory.  

These costs increased 12.6% year-on-year to ₹32,047.6 crore in FY25, up from ₹28,477.8 crore in FY24. 

Enterprise Products Drive Growth 

Revenue from enterprise products delivered robust growth during the year. Gross sales from enterprise offerings increased 32.4% to ₹2,054.9 crore in FY25, compared with ₹1,551.9 crore in FY24. 

Payments to Google Asia Pacific for enterprise-related services also climbed 33.8% to ₹1,868.4 crore, reflecting rising adoption of cloud-based and enterprise technology solutions in India. 

Overall Financial Performance 

Google India’s total revenue from operations declined 3% year-on-year to ₹5,340.1 crore in FY25, compared with ₹5,518.1 crore in the previous year. The decline was attributed to lower net advertising and enterprise product sales, partially offset by higher other income. 

Net sales from enterprise products stood at ₹186.5 crore, registering a 20% increase from ₹155.4 crore in FY24. 

Read More: Google Parent Alphabet Enters $4 Trillion Market Cap Club Amid AI Advancements! 

Conclusion 

While Google India’s gross advertising revenue continued to grow at a healthy pace, rising costs significantly compressed net income, highlighting margin pressures even as enterprise solutions emerged as a key growth driver. 

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