Advertisement
Telegraph.co.uk

Thursday 26 July 2012

Google profits surge 11pc on online advertising

Google reported a jump in quarterly profits to $2.8bn (£1.8bn) on rising online advertising revenue, beating Wall Street's expectations.

Google mail, gmail
Google's stock price rose to $606.90 in after-hours trade. Photo: ALAMY

The online search titan said that its profit rose 11pc in the quarter ended June 30 as consolidated revenue climbed 35pc to $12.21bn compared with the same fiscal quarter a year earlier

"Google standalone had a strong quarter with 21pc year-on-year revenue growth, and we launched a bunch of exciting new products... in particular the Nexus 7 tablet, which has received rave reviews," said chief executive Larry Page.

"This quarter is also special because Motorola is now part of the Google family, and we're excited about the potential to build great devices for users."

Google's stock price rose to $606.90 in after-hours trade that followed release of the earnings figures.

Google is currently being investigated by the European Commission over its dominance in online search.

Joaquin Almunia, the EC's competition commissioner, has reportedly demanded that the search giant make sweeping changes to its mobile services in order to settle the ongoing probe.

Sources told the Financial Times that talks between the EC and Google were on a "knife-edge," and that Mr Almunia was ready to serve formal antitrust charges against the company.

In a speech last month, Mr Almunia stressed that "speed is of the essence" and stated his commitment to negotiating a settlement with the company.

Google denies any wrongdoing.

telegraphuk
blog comments powered by Disqus
Advertisement

FINANCIAL GUIDES

Advertisement
Loading
Advertisement

Offers from Amazon