Google 2015 Annual Report Download - page 5

Table of Contents Alphabet Inc. and Google Inc.
1
NOTE ABOUT FORWARD-LOOKING STATEMENTS
This Annual Report on Form 10-K contains forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements include, among other things, statements regarding:
• the growth of our business and revenues and our expectations about the factors that influence our success
and trends in our business;
• our plans to continue to invest in new businesses, products and technologies, systems, facilities, and
infrastructure, to continue to hire aggressively and provide competitive compensation programs, as well as to
continue to invest in acquisitions;
• seasonal fluctuations in internet usage and advertiser expenditures, traditional retail seasonality and
macroeconomic conditions, which are likely to cause fluctuations in our quarterly results;
• the potential for declines in our revenue growth rate;
• our expectation that growth in advertising revenues from our websites will continue to exceed that from our
Google Network Members' websites, which will have a positive impact on our operating margins;
• our expectation that we will continue to take steps to improve the relevance of the ads we deliver and to reduce
the number of accidental clicks;
• fluctuations in the rate of change in revenue and revenue growth, as well as the rate of change in paid clicks
and average cost-per-click and various factors contributing to such fluctuations;
• our belief that our foreign exchange risk management program will not fully offset our net exposure to
fluctuations in foreign currency exchange rates;
• the expected increase of costs related to hedging activities under our foreign exchange risk management
program;
• our expectation that our cost of revenues, research and development expenses, sales and marketing expenses,
and general and administrative expenses will increase in dollars and may increase as a percentage of revenues;
• our potential exposure in connection with pending investigations, proceedings, and other contingencies;
• our expectation that our traffic acquisition costs will fluctuate in the future;
• our continued investments in international markets;
• estimates of our future compensation expenses;
• fluctuations in our effective tax rate;
• the sufficiency of our sources of funding;
• our payment terms to certain advertisers, which may increase our working capital requirements;
• fluctuations in our capital expenditures;
• our expectations related to the new operating structure implemented pursuant to the holding company
reorganization and the associated disclosure implications;
• the expected timing and amount of Alphabet Inc.'s stock repurchase;
• our intention to align our capital structure so that debt is held at the holding company level;
as well as other statements regarding our future operations, financial condition and prospects, and business
strategies. Forward-looking statements may appear throughout this report, including without limitation, the following
sections: Item 1 "Business," Item 1A "Risk Factors," and Item 7 "Management’s Discussion and Analysis of Financial
Condition and Results of Operations." Forward-looking statements generally can be identified by words such as
"anticipates," "believes," "estimates," "expects," "intends," "plans," "predicts," "projects," "will be," "will continue," "will
likely result," and similar expressions. These forward-looking statements are based on current expectations and
assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially and
adversely from those reflected in the forward-looking statements. Factors that could cause or contribute to such
differences include, but are not limited to, those discussed in this Annual Report on Form 10-K, and in particular, the
risks discussed under the caption "Risk Factors" in Item 1A of this report and those discussed in other documents we
file with the Securities and Exchange Commission (SEC). We undertake no obligation to revise or publicly release the
results of any revision to these forward-looking statements, except as required by law. Given these risks and
uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements.
As used herein, "our company," "we," "us," "our," and similar terms refer collectively to Alphabet Inc. and Google
Inc., together with their subsidiaries, unless the context indicates otherwise.
"Alphabet," "Google," and other trademarks of ours appearing in this report are our property. This report contains
additional trade names and trademarks of other companies. We do not intend our use or display of other companies'
trade names or trademarks to imply an endorsement or sponsorship of us by such companies, or any relationship with
any of these companies.