Business news from Ukraine


5 February , 2018  

Google LLC (Kyiv), under control of Google and providing advertising services, increased revenue by 75% in 2017, which is higher than the pace of 2016. The company entered the top 100 largest taxpayers of the country, Google LLC Director General Dmytro Sholomko has said.
“If two years ago the share of small and medium-sized businesses of revenue was 40%, now it exceeds 60%,” he said, explaining one of the main reasons for this growth during traditional discussion of the macroeconomic forecast for the year organized by the European Business Association (EBA).
Sholomko pointed out the rapid growth of the mobile Internet. He said that mobile Internet traffic has already exceeded the computer one, which also contributed to the good results.
In general, the general director of Google said that the technological business of Ukraine continues to grow rapidly, the country strengthens its image in this sector in the world, which is converted into the decision of major global technology companies to place their development centers here. He named PayPal, Samsung and Waze as an example. According to him, these centers are now being opened not only in Kyiv, Lviv and the cities with a million of population, but also in other regional centers.
Among the problems Sholomko pointed out the difficulties with financing this business in Ukraine, which reduces its competitiveness in comparison with neighboring countries, for example, Poland or Lithuania.
Google LLC in 2016 increased revenue by 61.3% – to UAH 1.004 billion, and in January-September 2017 it increased to UAH 1.082 billion. The net loss of the company in 2016 increased 2.7-fold, up to UAH 87.12 million, but in January-September 2017 it saw net profit of UAH 16.31 million.
According to the State Fiscal Service, in January-November 2017, Google has become the 94th largest tax payer in Ukraine, staying between FC Shakhtar (UAH 353.06 million of taxes) and Mariupol maritime merchandise port (UAH 339.85 million). Data on the exact amount of taxes paid by Google for this period are not available in the State Fiscal Service’s information.