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Google's profits up 31 percent - shares skyrocket

Posted on Thursday, April 17 2008 @ 22:48:38 CEST by

Despite bearish reports from analysts Google's first quarter results are much better than expected. The search engine reported a first quarter revenue of $5.19 billion with a net income of $1.31 billion, or $4.12 a share.

Excluding special items, Google's earnings for the first quarter of this year were $4.84 a share.
Google reported revenues of $5.19 billion for the quarter ended March 31, 2008, an increase of 42% compared to the first quarter of 2007 and an increase of 7% compared to the fourth quarter of 2007. Google reports its revenues, consistent with GAAP, on a gross basis without deducting traffic acquisition costs, or TAC. In the first quarter of 2008, TAC totaled $1.49 billion, or 29% of advertising revenues.
Analysts expected Google would report a net income of $4.55 a share. More info at Google. After the announcement Google's shares shot up more than 18.6% from $449.54 at the close to a high of $533.50.



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