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Google’s Quarterly Profits Rise By 17%

Editor by Editor
July 17, 2015
in Uncategorized
Google’s Quarterly Profits Rise By 17%
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  • Google’s profits rose 17% to $3.93bn in the three months to June from the quarter last year, boosted by an 11% rise in revenues to $17.7bn.
  • The search giant’s all-important advertising revenue was also up 11%, to $16bn.
  • In a statement Google’s finance Chief Ruth Porat highlighted ad growth on mobile and YouTube.
  • Google’s shares jumped 7.5% in after-market trading as traders welcomed the better-than-expected results.
  • The share price had already risen 3.5% during normal trading hours.
  • Advertisers pay Google only if a user clicks on one of their ads. “Cost per click”, or the average price of online ads, fell in the quarter, but was more than offset by the increase in ad volumes.
  • Google’s ad revenue has been under pressure as consumers access its services on mobile devices such as smartphones and tablets, whose advertising rates tend to be lower.
  • Google’s share price rise “is reflecting the fact that they’ve effectively just beat earnings for the first time in several quarters,” said Victor Anthony, an analyst at Axiom Capital.

Source: Google.com

Tags: News Review
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