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IDG News Service - Google grew its revenue and profits in the second quarter, but while revenue topped Wall Street's expectations, profits fell short.

Google generated revenue of $6.82 billion in the quarter, ended June 30, up 24% year-on-year, the company said Thursday.

Subtracting the commissions and other fees Google pays advertising and other partners, revenue was $5.09 billion, exceeding a consensus estimate of $4.99 billion from analysts polled by Thomson Financial.

Net income came in at $1.84 billion, or $5.71 per share, compared to $1.48 billion, or $4.66 per share, in the second quarter of 2009.

On a pro forma basis, which excludes certain one-time items, net income was $2.08 billion, or $6.45 per share, short of the $6.52 per share consensus expectation from financial analysts.

"Google had a strong second quarter," said Google CEO Eric Schmidt in a statement. The company had solid growth in its core business of search advertising, and "very strong growth" in its emerging businesses, Schmidt said.

Google sites were responsible for 66% of the total revenue, while partner sites generated 30%. More than half of the company's revenue -- 52% -- came from outside of the U.S.

Paid clicks, which are search ads on which people clicked, thus triggering a fee for Google from the advertisers, increased about 15% year-on-year, but fell about 3% from 2010's first quarter.

The cost of paid clicks, which is the money Google charges advertisers when someone clicks on a search ad, increased on average about 4% year-on-year and about 2% from 2010's first quarter.

Google makes most of its revenue from this type of pay-per-click ad that runs along with its search engine results and in Web pages of sites that belong to Google's advertising network.

As of June 30, Google had $30.1 billion in cash, cash equivalents, and short-term marketable securities, up from $26.5 billion at the end of the first quarter.

Google's worldwide full-time staff increased to 21,805 employees as of June 30, up from 20,621 employees at the end of the first quarter.