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Google Sales Growth Slows as Pressures Mount on Ad Market

by admin
July 26, 2022
in advertising, Advertising Services, Advertising/Marketing/Public Relations, alphabet, Business, Business/Consumer Services, C&E Industry News Filter, consumer services, Content Types, corporate, Corporate/Industrial News, Digital Marketing, Earnings, Factiva Filters, Financial Performance, GOOGL, industrial news, Internet Search Engines, Marketing, markets, Markets/Marketing, Online Service Providers, Public Relations, Sales Figures, SYND, Tech, Technology, WSJ-PRO-WSJ.com, wsjcorp
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Google Sales Growth Slows as Pressures Mount on Ad Market
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Google guardian

Alphabet Inc.

GOOG -2.56%

reported the slowest quarterly gross sales development in two years, as macroeconomic pressures weigh available on the market for digital adverts.

Alphabet posted $69.69 billion of second-quarter income on Tuesday, up 12.6% from the identical interval final 12 months. That marked the slowest charge of development for the reason that second quarter of 2020, when the pandemic crimped demand for promoting in some areas, together with journey.

Alphabet is predicted to put up $69.87 billion of second-quarter income on Tuesday, up virtually 13% from the identical interval final 12 months, in response to the consensus estimate of analysts surveyed by FactSet. That can be the slowest charge of development for the reason that second quarter of 2020, when the pandemic crimped demand for promoting in some areas, together with journey.

As markets react to inflation and excessive rates of interest, know-how shares are having their worst begin to a 12 months on report. WSJ’s Hardika Singh explains why the sector — from tech giants to small startups — is getting hit so exhausting. Illustration: Jacob Reynolds

Google, which has a dominant share within the markets for web search, navigation and video streaming, is taken into account a bellwether for the power of internet marketing. The slowdown, on the heels of weak outcomes from social-media corporations

Twitter Inc.

and

Snap Inc.

final week, suggests additional weak spot in an business vital to the well being of many web corporations.

Google’s second-quarter gross sales trailed Wall Street expectations by virtually $190 million. Net earnings dropped 13.6% to $16 billion, under the consensus estimate of analysts surveyed by FactSet.

Google Chief Executive

Sundar Pichai

mentioned this month the corporate would gradual hiring for the remainder of the 12 months, urging workers to be “more entrepreneurial, working with greater urgency, sharper focus, and more hunger than we’ve shown on sunnier days.” A Google spokesman mentioned final week it will pause most new hiring for 2 weeks in order that groups can higher plan staffing wants.

(More to Come)


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