Search and other related businesses posted second-quarter sales of $40.7bn. Picture: BLOOMBERG
Google’s sales gains indicate the company’s advertising business — especially its search ads — may be positioned to weather a crunch in marketing spending, which has affected smaller competitors including Snap and Twitter. By contrast, Google’s ad sales beat analysts’ expectations. The company is nevertheless remaining cautious, saying that it temporarily paused hiring.
“I would construe this report as a sigh of relief,” said Dan Morgan, a senior portfolio manager at Synovus Trust Company. “I think the fact that ad revenues beat in a very hostile environment has to be a feather in its cap that Google can deliver, even when competitors are really struggling.”
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