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Google Trading Stopped After Early Earnings Gloom

Oct. 18, 2012
Google with cash

Trading in Google stock was halted Thursday after it dropped more than 9 percent in the aftermath of a badly timed earnings release in which the Internet giant missed market expectations.

The quarterly earnings report had been scheduled for release after the close of trading, but Google inexplicably filed the document with the Securities and Exchange Commission at the height of trading.

The company's results showed that profit slipped to $2.18 billion from $2.73 billion in the same quarter a year ago, while revenue was up to $11.33 billion below Wall Street's expectations of $11.9 billion.

The decline in profits was attributed largely to Google's takeover of loss-making smartphone maker Motorola earlier in the year, causing a rise in operating expenses from $3.28 billion a year ago to $4.81 billion in the recent quarter.

Google said that the earnings report had been filed by the company's financial printers RR Donnelley without permission.



Source: Copyright 2012 dpa Deutsche Presse-Agentur GmbH


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