The company reported revenues of $8.44 billion for the quarter. This is an increase of 26% from fourth quarter 2009. GAAP operating income was $2.98 billion, which corresponds to 35% of revenues. Google's traffic acquisition costs (TAC) totaled $2.07 billion, which equals 25% of advertising revenues.
Net income (GAAP) for the quarter was $2.54 bililion, compared with $1.97 billion in 2009. This resulted in a GAAP earnings per share (EPS) of $7.81 on 326 million diluted shares. That's up from $6.13 year over year.
Google-owned sites were responsible for 67% ($5.67 billion) of total revenues. That is a 28% increase year over year. Google's network revenue, which includes the AdSense programs, accounted for $2.50 billion (30%) of total revenues. Network revenue was up 22% year over year.