This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
See Cramer's multi-million dollar portfolio for FREE and get his new book Get Rich Carefully! Learn More

Google Plunges on Weak Earnings

NEW YORK (TheStreet) -- Google (GOOG) shares were plunging after-marker trading as the Internet search giant posted second-quarter earnings that missed expectations. Shares were falling 3.8% after closing trading on Thursday at $910.68.

Google earned $9.56 per share on $11.1 billion in revenue, excluding traffic acquisition costs. Including TAC, which Google shares with its partners, the company generated $14.11 billion in revenue for the quarter.

Analysts surveyed by Thomson Reuters were expecting $10.78 per share on $14.42 billion in revenue, including TAC. Excluding TAC, revenues were expected to be $11.33 billion.

Costs-per-click (CPC), a key advertising metric, continued to be weak for Google, falling 6% year-over-year, and 2% sequentially. That weighed on results, as investors continue to worry whether mobile ads can ever be monetized at the rate desktop ads are.

"Google had a great quarter with over $14 billion in revenue - up 19% year-on-year," said CEO Larry Page in the press release. "The shift from one screen to multiple screens and mobility creates tremendous opportunity for Google. With more devices, more information, and more activity online than ever, the potential to improve people's lives even more is immense."

The company ended the quarter with $54.4 billion in cash and cash equivalents, up from $50.1 billion at the end of the first quarter. Google had 44,777 full-time employees at the end of the quarter, including 4,599 in Motorola. That's down sharply from the end of the first quarter, when it had 48,721 employees, including 9,982 from Motorola Mobile.

Shares of Google closed the regular session lower, losing 0.86% to $910.68. The stock is moving sharply lower in extended-hours trading, down 5.04% to $864.75 according to Nasdaq.com.

--Written by Chris Ciaccia in New York

>Contact by Email.

Stock quotes in this article: GOOG 

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
DOW 16,408.54 -16.31 -0.10%
S&P 500 1,864.85 +2.54 0.14%
NASDAQ 4,095.5160 +9.2910 0.23%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs