Google Reported Earnings of U.S. $ 2,710 Million in Fourth Quarter – TechTheBest
Google reported earnings of U.S. $ 2,710 million in fourth quarter
The gain of Google Inc. rose 6.3% during the fourth quarter after the company’s revenue has increased to its slowest pace in 2011. The shares fell 9.1% Thursday to U.S. $ 581.34 in the negotiations after the market close because neither the income nor earnings per share fell short of expectations by analysts. Google’s paid clicks in the U.S., an indicator of how frequently consumers clicked your ads, rose 34% from a year earlier and 17% over the third quarter.
The average cost that advertisers paid Google per click rose by 8% from a year earlier and 8% from the previous quarter. In the last period, total costs rose by 30%. In the last period, Google posted a profit of U.S. $ 2,710 million, or U.S. $ 8.22 per share, up from U.S. $ 2,540 million, or U.S. $ 7.81 per share, a year earlier. Excluding stock-based compensation, earnings per share totaled $ 9.50 per share compared to U.S. $ 8.75 a year earlier.
Revenue rose 25% to U.S. $ 10,580 million. Acquisition costs of customer traffic, which correspond to the commissions paid to marketing partners, accounted for 24% of revenues. Excluding these costs, revenues grew about 28% to about U.S. $ 8,130 million.
According to a survey by Thomson Reuters, analysts on average expected a quarterly profit of U.S. $ 10.49 per share on revenue of U.S. $ 8,410 million. In general, estimates of analysts exclude extraordinary items.
