Google surprises with 31% profit increase "Well positioned if the economics change"
18 April 2008 17:29 GMT / By Amy-Mae Elliott
Google has surprised the online industry in appearing unscathed by the current economic downturn by posting a healthy 31% increase in quarterly profits.
2008's first quarter earnings from the search giant rose from $1 billion to $1.31 billion, with Google reporting a growth in paid clicks advertising.
Chief executive Eric Schmidt said Google was not feeling the credit crunch: "We do not see an impact at this time", he said, "Our conclusion is that we're well positioned if the economics change because our model is so targeted - and targeted adverts do well in most circumstances".
Google's shares had slumped recently with third party reports suggesting clicks were down, but increased 17% to $524 following the news.
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