Google Earnings was Reported on – Oct 25, 2018

Alphabet Inc. is expected to report earnings on 10/25/2018 after market close. The report will be for the fiscal Quarter ending Sep 2018. Based on 14 analysts’ forecasts, according to Zacks Investment Research, the consensus EPS forecast for the quarter is $10.49.Alphabet (Google), the parent company of Google, reported on Monday about the profits, which have hit $9.4 billion in the first three months of 2018, up from $5.4 billion a year earlier. Google’s sales for the quarter jumped from 26% to $31.1 billion, quite quickly.

All about Google’s revenue- From 2016 to 2017, Google’s annual revenue grew over 23% over the period. Simultaneously, Google advertising webpages have comprised a relatively consistent 71% of their total revenue, along with it, they had to compromise another 16% of revenue from Google network websites. Since then, Google’s revenues have roughly tripled from 2011. Reported in 2014, Google made $65.67B in revenues while in 2015, it made 74.5B. In 2016, Google made 89.46B and in 2017, Google reported $110.8 Billion revenues. The bulk of Google’s $75 billion revenue in 2015 came from its proprietary advertising service. 77% or just over $52 billion revenues came from Google’s own websites.

The parent company-Alphabet(Google), reported that its third quarter earnings on Thursday, where it has seemingly beat the bottom line projections. The company has whiffed on revenue expectations and the stock sunk as much as 5.3 percent in few hours after trading.

Important numbers on Google Earnings:

  • $13.06versus $10.42 Earnings per share is expected as per a consensus estimate.
  • $33.7 billion versus $34.04 billion revenue expected as per a consensus estimate.

Although Alphabet’s(Google’s parent company) reported overall revenues to be up by 21 percent after each year, the chief financial officer, Ruth Porat had said on the company’s earnings call that the revenues were affected by the strength of the U.S. dollar in the 3rd Quarter. And as we all know, Google’s advertising business accounted for most of its revenue, almost 85.8 percent.

Earlier on the Thursday when Google Earnings were reported, a bombshell New York Times story that said that Google shielded a handful of executives, including Android creator Andy Rubin, from sexual misconduct allegations. And it has also offered massive payouts to leave the company.

Meanwhile, Google has faced criticism both internally and externally. After the Intercept first reported in August that it planned to release a censored search app in China, Google faced critique judgments and reviews. On the Google Earnings call, Sundar Pichai did decline to give an overview or an explanation of the past comments he had made that Google cares about Chinese users.

Google recently had to respond to the European Union’s as well. It responded to $5 billion antitrust ruling by changing the way it bundles its apps on Android in any region. When Sundar Pichai was asked on the Google Earnings call that how that remedy could affect Google’s business. To this he had responded that it was too early then to say.

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