There were several big tech companies reporting earnings after the close today. Let’s take a look at four big names and the key metrics for each.
Google (GOOG) reporting non GAAP earnings of $9.50 on net revenues of $8.1 billion. Paid Clicks saw a big jump in 3Q11, up from 18% in 2Q to 28%. This quarter saw another strong paid clicks number of 34%. This was considered a big miss and the stock promptly dropped almost 10% or about 60 points.
Google goes not give any guidance, but it’s clear from this report that the growth story is still intact. More details about Google+, Android and Chrome will come out of the conference call. We already know that there are more than 700,000 Android activations each day, investors may look for that number to increase… but we suggest they do not hold their breath on that one.
IBM (IBM) reported total revenue of $29,486, up from $26,157 in 3Q11 and up slightly from $29,019 in 4Q10. We drill down on both service lines, Tech and Business as well as Software to determine the health of the quarter.
Tech Services came in at $10,452 up from $10,322 in 3Q11 and 1% higher than the $10,165 reported in 4Q10.
Business software reported revenue of $4,877, compared to $4832 in the previous quarter and $4,758 in the year ago period.
Software revenue was $7648, up from $5817 in 3Q11 and $7,039 in 4Q10. Software generally contributes a higher amount to gross margin.
Gross profit came at 49.9%, well ahead of last quarter’s 46.5% and the year ago level of 49%.
Microsoft (MSFT) is really the bellwether of the tech sector. They are a key component in most every business and their growth means the economy is growing. We look at total revenue and break out its major parts to get a better feel.
Business Division Revenues were $6.28 billion, up from $5.62 billion in the most recent quarter and up from $6.03 billion in the year ago period.
Sever & Tools posted sales of $4.77 billion vs. $4.25 billion in 3Q11 and $4.39 billion in 4Q10.
Windows & Windows Live Division saw revenues of $4.74 billion compared to 4.87 in the previous quarter and $5.05 in the year ago period.
Recall that Mister Softee (as the traders call Microsoft) noted that the Asian floods ended up hurting PC demand in 4Q11.
Intel (INTC) had to face the above mention floods in Asia which hurt demand and should slow down the supply chain. When drilling down on INTC, we look at Revenue and gross margins. Book to bill is not contained in the earnings releases.
Revenue came in at $13.8 billion, down from $14.3 billion in 3Q11 and up from $11.5 billion in 4Q10.
Gross Margins were 64% slightly below last quarter’s 64.4% and well below the year ago levels of 67.5%.
Tell us what you think of these tech titans!
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