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Google Gets Gored

Pia Sarkar

Shares fell 11.1% to $474.21 in recent trading.

The tech giant earned $1.25 billion, or $3.92 a share, in the second quarter, compared with $925.1 million, or $2.93 a share a year ago.

Adjusted for certain items, the company earned $4.63 a share, falling short of analysts' estimates of $4.74 a share.

Second-quarter revenue climbed 39% to $5.37 billion. Adjusted for traffic acquisition costs, revenue came in at $3.9 billion, above analysts' consensus expectation of $3.87 billion.

"Strong international growth as well as sustained traffic increases on Google's web properties propelled us to another strong quarter, despite a more challenging economic environment," said Eric Schmidt, Google's chief executive. "As we continue to focus on innovating in our core business of search, ads and apps, we also look forward to enhancing the experience of our users and expanding the reach of our advertisers and partners with new technologies and formats, particularly as our integration of DoubleClick gains momentum and creates new opportunities in display advertising and elsewhere."

Google-owned sites generated revenue of $3.53 billion, or 66% of total revenue, in the second quarter, a 42% increase from a year ago.