After the close on Thursday, Google Inc. reported Q1 earnings of $3.68 per share which beat the street by $0.37. Analyst estimates called for the company to make $3.31 per share in Q1. Google, which trades under the ticker symbol GOOG, also beat on revenue.

Eric Schmidt, CEO of Google said:

“The global growth of our core search and ads business and our focus on building our partnerships drove our strong results in the quarter. We continued to expand our worldwide footprint, adding important new partners and growing our platform to increase our ability to deliver targeted and measurable ads. The ongoing expansion of our network allows us to improve the user experience through new opportunities and programs.”

On the earnings conference call the company said that it expects International sales to eventually be greater than 50% as the see continued momentum in their International business. Revenues from outside of the United States totaled 1.71 billion (about 47% of total revenue vs. 42% a year ago). However, the company did said it may see additional pressures on Traffic Acquisition Costs going forward and margins may decline as they continue to invest heavily in the business. Also, the season heading into the summer tends to be the slowest for the company.

Schmidt chose to focus mainly on the core search business during the conference call:

“Sometimes I worry we talk so much about new things that we forget to talk about our core business,” Schmidt said. “But it’s the strength of that business that allows us to take calculated risks with new products. Targeted and effective advertising continues to be our mantra”