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Google Follows Internet Post-Earnings Sell-Off (GOOG)

Goole Inc. (NASDAQ: GOOG) has posted its earnings and the results came in at $4.43 non-GAAP EPS on revenues of $3.39 Billion on an ex-TAC basis, and these are not going to greatly received since Wall Street demand more from…

By Douglas A. McIntyre
Published January 31, 2008, 4:14pm ET · 2 min read

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Goole Inc. (NASDAQ: GOOG) has posted its earnings and the results came in at $4.43 non-GAAP EPS on revenues of $3.39 Billion on an ex-TAC basis, and these are not going to greatly received since Wall Street demand more from Google.  First Call had estimates at $4.45 EPS on ex-TAC revenues of $3.45 Billion. 

Google doesn’t offer guidance, but Wall Street is expecting roughly a 30% EPS gain in 2008 to $20.78 EPS and roughly a 40% revenue gain to $16.59 Billion.Its revenues before backing out traffic acquisition costs was $4.83 Billion.  Here were some key metrics:

  • Google-owned sites generated revenues of $3.12 billion, or 65% of total revenues, in the fourth quarter of 2007.
  • Google’s partner sites generated revenues, through AdSense programs, of $1.64 billion, or 34% of total revenues.
  • Revenues from outside of the United States totaled $2.32 billion, representing 48% of total revenues in the fourth quarter of 2007.
  • Google’s PAID CLICKS rose 30% year over year and rose 9% sequentially.
  • As of December 31, 2007, cash, cash equivalents, and marketable securities were $14.2 billion.
  • Google employed 16,805 full-time global employees as of December 31, 2007, up from 15,916 full-time employees as of September 30, 2007.  That represents a 5.5% headcount growth.

Google had 3.88 million shares listed in the short interest as of last look in Mid-January, down from 4.07 million at the end of December.  Google shares closed up almost 2% at $560.00 on more than 10 million shares, although this fell $10 at the end of the day from a $570.19 high as traders may have gotten cold feet. In after-hours trading, Google shares are getting whacked by 8% down to $516+ on active volume (for a $500+ stock).

Jon C. Ogg
January 31, 2008 

Contact [email protected] for any questions or corrections.

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Douglas A. McIntyre

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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