Google profits up sharply but fail to impress
Google has reported a sharp rise in profits and revenue in their latest quarterly results that nonetheless failed to impress Wall Street.
Net profit for the three months to the end of June came in at £1.2bn, up by a quarter on the £980 m it recorded a year earlier.
Revenue was $6.82bn, also up sharply on the $5.52bn posted a year ago.
However, analysts had expected better and chose to focus instead on operating expenses, which increased sharply.
As a result, shares in Google fell more than 4% in after-hours trading.
Google have added another 1,200 staff in the quarter, which means more expenses are going to increase in September’s results.
Despite the underwhelming response from Wall Street, Google chief executive said the firm had “had a strong second quarter” based on “solid growth in our core business and very strong growth in our emerging businesses”.
