Google and Microsoft profits miss forecasts
Despite widening losses from Google’s Motorola mobile phone business, along with weakening prices for its internet ads, the search engine firm reported net second-quarter income of $3.2 billion (£2.1bn), up from $2.8bn for the same period last year.
However, the earnings per share figure of $9.56 fell short of the $10.78 expected by Wall Street analysts.
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Hide AdMeanwhile, Microsoft took a $900m charge related to weak sales of its Surface RT tablet computer, taking the shine off a 10 per cent rise in fourth-quarter revenues to $19.9bn.
Earnings per share at the maker of Windows software came in at 59 cents, well below forecasts of 75 cents.
Ishaq Siddiqi, market strategist at ETX Capital, said: “The technology sector appears to be suffering from a mix of problems such as faltering demand in end markets and a shift away from PC to mobile and tablet.”