Google Inc. reported first-quarter revenue of $10.65 billion, a 24% rise over the same quarter a year ago, and said it would introduce a new class of stock in what it called a “2-for-1 stock split.”
For the three months ended March 31, profit totaled $2.89 billion, or $8.75 a share, compared with $1.8 billion, or $5.51; that was better than Wall Street expected. The company said its operating income was $3.39 billion, or 32% of revenue.
Larry Page, chief executive of the Mountain View, Calif.-based company, said Google “saw tremendous momentum from the big bets we’ve made in products like Android, Chrome and YouTube.”
“We are still at the very early stages of what technology can do to improve people's lives and we have enormous opportunities ahead.”
The company also announced that its board of directors had unanimously approved a stock dividend proposal intended “to preserve the corporate structure that has allowed Google to remain focused on the long term.”
The stock split will introduce a new class of nonvoting capital stock, according to Bloomberg. The shares will be distributed through a stock dividend to existing shareholders.
Google reported its earnings after the markets closed. During regular trading, its shares rose $15.05, or 2.4%, to $651.01.