Rosy Q1 for Google

Search giant profits up 30% as international ad business takes off
By Harry Kimball,  Newser Staff
Posted Apr 17, 2008 5:45 PM CDT
The logo of Google.   (AP Photo/Keystone, Walter Bier, file)
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(Newser) – Google reported a 30% increase in first-quarter profits today, bettering analysts’ predictions and sending share prices up 17%, Bloomberg reports. Forecasters had assumed that growth in domestic advertising clicks would slow, but Google said it “remains healthy;” a 55% increase in international ad sales gave the search giant the bump it needed to exceed expectations.

The dismal outlook on Wall Street was in part due to cuts in advertising budgets, and to unencouraging numbers released by Google in January. Ad clicks rose, but at nowhere near the rate of the same time last year. The rising value of international currency was beneficial but unexpected; Google admitted that without the boost, revenues would have been around $200 million less.