Alphabet (Google): a disappointing Q4; stock to open down?
(CercleFinance.com) - The A share of US technology giant Alphabet, of which Google is the main subsidiary, could well open down nearly 4% on Wall Street today.
In question - beyond the accounting consequences of the tax reform: the publication of adjusted results that are below expectations in Q4 2017 and finally, a lower operating margin.
The Internet giant from Mountain View, California, generated revenues of 32.3 billion dollars in Q4 2017, up 24% as reported and at constant exchange rates. That said, operating income grew at a slower pace: +15.4% to 7.7 billion dollars, resulting in a decrease in the corresponding margin (down from 25% to 24%).
After a net income of 5.3 billion dollars in Q4 2016, the group posted a net loss of 3 billion dollars (-4.35 dollars per share) a year later. At issue: the accounting consequences of the US tax reform, which will result in a charge of 9.9 billion dollars, integrated into its Q4 accounts.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
In question - beyond the accounting consequences of the tax reform: the publication of adjusted results that are below expectations in Q4 2017 and finally, a lower operating margin.
The Internet giant from Mountain View, California, generated revenues of 32.3 billion dollars in Q4 2017, up 24% as reported and at constant exchange rates. That said, operating income grew at a slower pace: +15.4% to 7.7 billion dollars, resulting in a decrease in the corresponding margin (down from 25% to 24%).
After a net income of 5.3 billion dollars in Q4 2016, the group posted a net loss of 3 billion dollars (-4.35 dollars per share) a year later. At issue: the accounting consequences of the US tax reform, which will result in a charge of 9.9 billion dollars, integrated into its Q4 accounts.
Copyright (c) 2018 CercleFinance.com. All rights reserved.