Google has revealed a 20 per cent growth in users clicking through to paid-for ads and a 31 per cent rise in profits to $1.31bn (£655m) – surprising many industry watchers expecting less encouraging growth.

The internet giant reported a profit after tax of $1.31bn (£655m) in the three months to March, with paid clicks rising by approximately 20 per cent on the first quarter of 2007, and 4 per cent over the fourth quarter.