SAN FRANCISCO, July 17 (Reuters) - Google Inc reported a weaker-than-expected 35 percent rise in quarterly net profit due to lower interest income and higher expenses for foreign currency hedges, driving its shares down 7 percent on Thursday.
While other Internet companies have been suffering from a weakening U.S. economy, Wall Street has come to count on Google to deliver positive revenue and earnings surprises over and above consensus expectations each quarter.
“It's hard to love the numbers," said Colin Gillis, analyst at Canaccord Adams. “There's the initial shock of this being the best company in the space and it just fell short."
Net income for the second quarter rose to $1.25 billion, or $3.92 per diluted share, from the year-earlier quarter's $925 million, or $2.93 per diluted share.
While other Internet companies have been suffering from a weakening U.S. economy, Wall Street has come to count on Google to deliver positive revenue and earnings surprises over and above consensus expectations each quarter.
“It's hard to love the numbers," said Colin Gillis, analyst at Canaccord Adams. “There's the initial shock of this being the best company in the space and it just fell short."
Net income for the second quarter rose to $1.25 billion, or $3.92 per diluted share, from the year-earlier quarter's $925 million, or $2.93 per diluted share.
