Google on Thursday trumped expectations and reported a net profit of US$382 million for the final three months of last year despite US$1 billion vanishing in sinking investments.
Fourth-quarter earnings per share of US$1.21 fell far short of the US$3.79 per share posted during the same quarter in 2007, but they were hamstrung by one-time charges related to Clearwire and America On Line (AOL).
Google reported revenue for the recently-ended quarter of US$5.7 billion, an 18 percent rise from the same period a year earlier.
PHOTO: AP
“Google performed well in the fourth quarter, despite an increasingly difficult economic environment,” Google chief executive Eric Schmidt said. “It’s unclear how long the global downturn will last, but our focus remains on the long term, and we’ll continue to invest in Google’s core search and ads business as well as in strategic growth areas such as display, mobile and enterprise.”
Google said revenue rose in almost every online search category.
Google’s stock price gained more than 2 percent to US$313.21 per share in after-hours trading that followed the release of the Mountain View, California, firm’s earnings figures.
“We saw strong search query growth year-on-year; revenue up, and tight control on costs — something that has eluded us in the past but we think we have the formula down now,” Schmidt said during an earnings conference call.
Google has curtailed hiring, and even recently eliminated 100 recruiting jobs.
Google’s sales force went out and told customers that targeted online advertising was key to making money, especially in dismal economic times, Schmidt said.
“It is absolutely true the people are shifting to the Web and advertising is going online; and that is good for Google,” Schmidt said. “We are optimistic about Google and its future.”
Google sees “huge” untapped potential in online search and advertising arenas and is investing in improving query results and the relevance of associated ads, executives said.
“Wouldn’t it be nice if Google understood the meaning of your search phrase instead of just the words,” Schmidt said.
“We have things we are going to be rolling out,” he said.
Schmidt confirmed reports that Google was readying a way for owners of films, television shows and other “commercial video” that pops up on YouTube to add advertising, even if users of the Web site post content without permission.
“There are deals on their way,” Schmidt replied when asked about barriers to making advertising money from video posted at Google-owned YouTube. “It is fair to say we haven’t found a single solution that drives revenue wildly and we are working on that.”
RETHINK? The defense ministry and Navy Command Headquarters could take over the indigenous submarine project and change its production timeline, a source said Admiral Huang Shu-kuang’s (黃曙光) resignation as head of the Indigenous Submarine Program and as a member of the National Security Council could affect the production of submarines, a source said yesterday. Huang in a statement last night said he had decided to resign due to national security concerns while expressing the hope that it would put a stop to political wrangling that only undermines the advancement of the nation’s defense capabilities. Taiwan People’s Party Legislator Vivian Huang (黃珊珊) yesterday said that the admiral, her older brother, felt it was time for him to step down and that he had completed what he
Taiwan has experienced its most significant improvement in the QS World University Rankings by Subject, data provided on Sunday by international higher education analyst Quacquarelli Symonds (QS) showed. Compared with last year’s edition of the rankings, which measure academic excellence and influence, Taiwanese universities made great improvements in the H Index metric, which evaluates research productivity and its impact, with a notable 30 percent increase overall, QS said. Taiwanese universities also made notable progress in the Citations per Paper metric, which measures the impact of research, achieving a 13 percent increase. Taiwanese universities gained 10 percent in Academic Reputation, but declined 18 percent
CHINA REACTS: The patrol and reconnaissance plane ‘transited the Taiwan Strait in international airspace,’ the 7th Fleet said, while Taipei said it saw nothing unusual The US 7th Fleet yesterday said that a US Navy P-8A Poseidon flew through the Taiwan Strait, a day after US and Chinese defense heads held their first talks since November 2022 in an effort to reduce regional tensions. The patrol and reconnaissance plane “transited the Taiwan Strait in international airspace,” the 7th Fleet said in a news release. “By operating within the Taiwan Strait in accordance with international law, the United States upholds the navigational rights and freedoms of all nations.” In a separate statement, the Ministry of National Defense said that it monitored nearby waters and airspace as the aircraft
UNDER DISCUSSION: The combatant command would integrate fast attack boat and anti-ship missile groups to defend waters closest to the coastline, a source said The military could establish a new combatant command as early as 2026, which would be tasked with defending Taiwan’s territorial waters 24 nautical miles (44.4km) from the nation’s coastline, a source familiar with the matter said yesterday. The new command, which would fall under the Naval Command Headquarters, would be led by a vice admiral and integrate existing fast attack boat and anti-ship missile groups, along with the Naval Maritime Surveillance and Reconnaissance Command, said the source, who asked to remain anonymous. It could be launched by 2026, but details are being discussed and no final timetable has been announced, the source