Google Brings Back The Growth In The Third Quarter. (Live Notes)

After two quarters of flat sales, Google announced a resumption of growth in the third quarter, with revenues up 7 percent to $5.95 billion. Net income was up 27 percent to $1,64 billion, or $5.13 EPS, which was above consensus.

Google generated $1.8 billion for AdSense partner sites, or 30 percent of revenues. Paid clicks on AdSense ads were up 14 percent annually and up 4 percent from the second quarter, but the cost per click (or how much Google and AdSense publishers make from each of those clicks) was down 6 percent annually and 5 percent sequentially.

The earnings call is about to start. My live notes below:

Ooh, something new, they are going to let the people on the call vote for the best questions.

CEO Eric Schmidt: We believe the worst of the recession is behind us. We now have the business confidence to invest in the next stage of innovation.

Mobile, 30% growth quarter over quarter. Android now 12 devices in 26 countries, 32 carriers.

1M publishers using AdSense. Integrated DoubleClick into the exchange.

enterprise business, not only accelerating, but some customers, Genentech, Motorola, etc, very string feedback.

In 10% areas where we think it is very promising. We will focus more on strategic acquisitions. We are open for business.

CFO Patrick Pichette: headcount was slightly down, revenues up, TAC was 27% of revenues.

free cash flow $2.5B