Google is set to report its fourth-quarter earnings figures after the markets close Tuesday, coming off what many expect will be a strong holiday quarter.
Last quarter, the company’s stock took a hit when it missed estimates and saw its report inadvertently published earlier than expected. Google reported $11.3 billion in revenue, below expectations of around $11.8 billion. The consensus projection headed into the report Tuesday is that the company will report around $12.3 billion in revenue.
Analysts said they will be looking closely at trends in how much advertising revenue the company is making per click, as well as the amount of money it’s spending on projects.
In an note to investors, BCG Partners analyst Colin Gillis said that Google’s continued growth in the Android market may be driving the average cost per advertising click down, as mobile ads are far less lucrative than their desktop counterparts.
He also said that Google’s expenses may be growing too quickly.