Plus, Chief Business Officer Nikesh Arora is leaving after nearly a decade at the company
Google’s earnings per share fell short in 2014’s second quarter — reporting $6.08 versus an anticipated $6.23 — making it four out of the past six three-month periods to miss such estimates. It did, however, top revenue estimates with $15.96 billion versus a forecasted $15.62 billion — that latter expectation courtesy of Thomson Reuters.
Net income (including from discontinued operations) in the second quarter of 2014 was $3.42 billion. Average cost-per-click decreased six percent year-over-year and was flat with 2014’s Q1.
In the filing, Google also announced that Chief Business Officer Nikesh Arora is leaving after nearly 10 years at the company to become vice chairman of SoftBank Corp. and chief executive of SoftBank Internet and Media. Omid Kordestani will lead Google’s business organization in the interim.
Despite the EPS miss, CFO Patrick Pichette said in a press release: “Google had a great quarter with revenue up 22 percent year on year, at $16.0 billion. We are moving forward with great product momentum and are excited to continue providing amazing user experiences, with a view to the long term.”
In the after hours exchange, at the time of this writing, Google’s shares were up about 1.55 percent.
For the previous quarter, Q1, shares at $6.27 fell short of the anticipated $6.39. The knock then was that advertising revenue failed to grow as quickly as expected.
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Earlier this week, Yahoo Inc. witnessed its revenues from search ads and paid clicks increased six percent and three percent year-over-year, respectively. Revenue for Yahoo has declined essentially every quarter since Marissa Mayer took over.