Google's parent Alphabet beats expectations despite EU fine

IANS  |  San Francisco 

Taking the latest $5 billion fine by the into account, Google's parent company reported $26.24 billion in revenue for the quarter that ended on June 30, making a profit of $3.2 billion while beating Wall Street expectations.

Excluding the fine, the tech giant would have had $32.6 billion in revenue and a profit of $8.2 billion.

"We are analysing the decision and I think it's too early to comment or speculate beyond what we've already said, but we will always take a constructive approach," said during the company's earnings call with analysts late on Monday.

Riding on and growth, Google's revenue jumped 26 per cent to $23.3 billion.

"We delivered another quarter of very strong performance, with revenues of $32.7 billion, up 26 per cent versus the second quarter of 2017 and 23 per cent on a constant currency basis," Ruth Porat, of Alphabet, said in a statement.

"Our investments are driving great experiences for users, strong results for advertisers, and new business opportunities for and Alphabet," Porat added.

Traffic acquisition costs, a key metric in Google's ad business, went up to 23 per cent of ad revenue in the second quarter.

Last week, US attacked the (EU)for the fine slapped, and said: "The just slapped a $5 billion fine on one of our great companies, Google," Trump tweeted. "They truly have taken advantage of the US, but not for long!"

The fined for monopoly with its operating system, accusing it of violating the EU competition rules.

"I'm confident we find a way to make sure is available at scale to users everywhere," Pichai said during the call with analysts.

--IANS

na/in

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, July 24 2018. 10:20 IST