Google's profit jumps, but shares fall
Fourth-quarter revenue up 18% to $6.7 bil; stocks down 5%Google reported a fivefold increase in fourth-quarter profit Thursday and executives seemed thrilled with the results, but Wall Street wasn't impressed. Shares fell as much as 5% in after-hours trading.
Google's net income was $2 billion on revenue that rose 18% to $6.7 billion. Analysts, though, were expecting about $100 million more in profit from the Internet giant.
Outside of acknowledging a "roller-coaster year," Google execs were positive about the business both in the just-ended quarter and going forward, even promising to hire more employees.
Execs also boasted of Google's growing display advertising business, using a multimedia blitz that included YouTube that Fox purchased for "Avatar" as its primary example.
In a tough market, advertisers are seeking the kind of measurement and accountability Google offers, they said.