Google Misses Q1 Estimates

reported downbeat results for the first quarter on Thursday. The Mountain View, California-based company posted quarterly net income of $3.59 billion, or $5.20 per share, compared to $3.45 billion, or $5.04 per share, in the year-ago period. Excluding items, the company earned $6.57 per share. Its consolidated revenue climbed 12 percent year-over-year to $17.26 billion, compared to $15.42 billion. Excluding advertising commissions, the company's sales came in at $13.91 billion. However, analysts were expecting earnings of $6.63 per share on revenue of $14 billion. Average paid clicks rose 13 percent, down 1 percent versus a quarter earlier. The average estimate among 152 Estimize users was for earnings of $6.76 per share and revenue of $14.23 billion. "Google's first quarter revenue was $17.3 billion, up 12% year on year. Excluding the net impact of foreign currency headwinds, revenue grew a healthy 17% year on year," said Patrick Pichette, CFO of Google. "We continue to see great momentum in our mobile advertising business and opportunities with brand advertisers." Google shares rose 2.61 percent to $572.00 in the after-hours trading session.