Google misses market expectations with their revenue figures
Search engine giant Google has finally received a minor jolt in the stock market as the companyâ€™s shares fell as much as 19 percent on Tuesday. This happened after the company announced their revenue figures for the last quarter, which was lower than what the market had expected from them.
One of the reasons for low revenue figures was the higher-than-expected tax rate. Earnings of the company were around $1.54 per share. This was below the market expectation of $1.77. Google has beaten the consensus profit forecast by 10 percent to 40 percent even since it launched its IPO. Its share has seen a phenomenal rise in the market making it the fastest growing company in the world.
The company reported the net income for the last quarter at around $372.2 million. This is an improvement over $204.1 million in the same period the previous year. The gross revenues were up to $1.92 billion which itself is an improvement of more than 85% compared to last year same period.
Google also said that their own network of sites generated revenues of around $1.10 billion. This is more than half of their total income. Their earnings from the AdWords affiliated sites were around $799 million.