Google Inc(NASDAQ:GOOG)’s third
quarter earnings, which came in unexpectedly early on Thursday missed analyst
forecasts both on profits and revenues.
The internet search giant said it
earned $9.03 per share in the third quarter, well below the consensus estimate
that had forecast an EPS of $10.63; GAAP EPS came in at $6.53.
It reported revenues of $11.3
billion, against forecasts of $11.9 billion. Consolidated revenues of the
company rose 45 percent to $14.1 billion.
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Paid clicks rose 33 percent
year-over-year, while cost per click fell 15 percent.
Google’s international revenue,
which represents more than half of its total revenues, hit $6.1 billion. In
fact, its share in total revenues rose to 54 percent from 53 percent in the
second quarter.
Google-owned web site advertising
revenues grew 15 percent to $7.7 billion.
The all-important traffic
acquisition cost (TAC) number ticked up to $2.77 billion, from $2.2 billion.
The company reported that its cash
stock pile had reached $45.7 billion.
Its revenues from Motorola were
$2.58 billion, or 18 percent of consolidated revenues.
There was no word from Google about
its Android operating system or anything about the Nexus tablets and its future
prospects.
Shares in the company quickly sank
and were trading down more than 8 percent at $692, after halting for hours and
off session low of $676. Volumes are very high with more than 9 million shares
have traded hands, 3X its average volume.
Reports suggested that the early
release of the results was a mistake by the company and could have been done in
error.
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