Google India reported a flat standalone profit of ₹1,436.9 crore for the financial year ending March 2025. This came as revenue declined and employee and tax expenses grew, said a document shared by the market intelligence firm Tofler. The company had posted a profit after tax of about ₹1,425 crore in the previous year. When asked, a Google India spokesperson said the FY25 numbers are not directly comparable to FY24 because "Profit of Rs 1,425 crore for 2024 includes profit from the IT division. The IT division was demerged into a separate company (Google IT Services), so the 2025 GIPL profit numbers do not reflect IT division profit." The spokesperson also explained that FY24 revenue included a ₹229 crore addition related to previous fiscal years based on a Bilateral Advance Pricing Agreement (BAPA) signed with the Indian government. According to the company’s financial report, Google India entered into BAPA with the Central Board of Direct Taxes in March 2024. This agreement covers transactions involving advertisement space and enterprise product purchases from Google Asia Pacific for financial years 2016-17 to 2024-25. "Pursuant to the BAPA, the company recognized Rs 2,297 crore additional income for 2016-17 to 2022-23 in its FY24 revenue. This amount was offered for tax," the report said. Google India’s revenue from operations dropped 3.2% to ₹5,340 crore in FY25 from ₹5,518 crore in FY24. However, total revenue increased 3.2% to ₹6,116 crore due to about ₹776 crore in other income. Net profit margin fell slightly to 23.49% from 24.06% a year ago. Total expenses rose to ₹4,136 crore. Employee benefit costs grew 7.8% to ₹2,146 crore from ₹1,989 crore. Tax expenses increased 22.6% to ₹543 crore from over ₹442 crore in FY24. Google India’s financial update shows steady profit but rising costs and a slight drop in operating income, shaped by corporate restructuring and tax agreements.