Recession showed impacts on search engine companies as well. Here is how Google and Yahoo performed in this tough times.
Google revenue declined from one quarter to the next
Internet giant Google reported a 9.2 percent rise in quarterly net profit of 1.42 billion dollars. The figure is up six percent from the same quarter a year ago which was 1.31 billion dollars in the same quarter but down three percent compared with the fourth quarter of last year. Google said the revenue declined for the first time ever in consecutive quarters.
“Google had a good quarter given the depth of the recession — while revenues were down quarter over quarter, they grew six percent year over year thanks to continued strong query growth,” chief executive Eric Schmidt said.
According to new chief financial officer Patrick Pichette, Google was laying off 200 sales and marketing employees.
Yahoo has dramatical net income plunge
At the same time, Yahoo reported a 78% decline in net income for the first quarter 2009 and plans to cut its workforce by 5%.
Yahoo Chief Executive Carol Bartz said: “The economy clearly remains a challenge for us” and added that brand marketers declined their budget on ad spending, especially on display ads, the pictorial banners that are Yahoo’s chief source of business.
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