Of the four major technology Giants, Google has had a fair share of bad weather, though, the world’s most popular search engine firm, Google was the only one out of the four major technology companies (including Amazon, Facebook, and Apple) that failed to impress investors with its Q2 2020 earnings results.
Google Properties revenue plunged by 8% to $25.13 billion as against estimates of $24.98 billion. That segment includes advertising and services revenue from Gmail, Google Play, YouTube, and Google Search.
Alphabet surprised investors Friday by posting a decline in Google’s advertising revenue year-over-year for the first time in history.
As a result, Alphabet’s class A (Google’s parent company) share price closed at $1,482.96 after losing about 3.17%, breaking its strong support level of $1,500.
Stock traders’ rising worry over Google’s strength to upp its revenue from advertising was partly responsible for the unimpressive performance in its share price
However, the search engine giant reported quarterly profit of nearly $7 billion on revenue that topped $31 billion after removing traffic-acquisition costs.
“We’re working to help people, businesses, and communities in these uncertain times,” said Sundar Pichai, Chief Executive Officer of Google and Alphabet. “As people increasingly turn to online services, our platforms — from Cloud to Google Play to YouTube — are helping our partners provide important services and support their businesses.”