Google missed the mark on revenue and profits and paid dearly for it
Google may have "announced" its Q3 financial results earlier than it wanted, leading to a huge drop in share price, but it has since revealed the numbers officially. They're still bad, but they certainly don't justify the panic following the leak.Overall, Google made $14.10 billion, €10.76 billion in the third quarter, a 45 percent increase over the third quarter of 2011. However, this new figure now includes Motorola revenue, so the comparison isn't fair.
Google revenue, excluding Motorola, was $11.53 billion, €8.80 billion, 82 percent of the total figure. That's a 19 percent increase over the year-ago numbers.
Still, Wall Street was expecting $11.86 billion, €9.05 billion and was shocked, apparently, when that didn't happen. Granted, Google has never missed expectations, then again those expectations are set by Wall Street itself.
While revenue was on the rise, profit was down, net income was $2.18 billion, €1.66 billion compared to $2.73 billion, €2.08 billion a year ago. You can blame that on Motorola losing $527 million, €402 million (operating loss) in Q3.