Google Inc. (GOOG) said Friday Wall Street analysts have not
properly accounted for the Internet firm's recent sale of its
Motorola set-top box division, skewing their estimates for the
company's financial results expected next week.
Google Chief Accountant Brent Callinicos wrote on a company
website that "a majority of Wall Street analysts" who cover the
firm have included results for the Motorola unit, called Motorola
Home, in their profit and sales estimates for 2012.
However, Google intends to pull sales and profit results for
Motorola Home out of the company's overall figures, and to account
for them as "discontinued operations."
Google is expected to release fourth-quarter and 2012 annual
results on Tuesday. Analysts surveyed by Thomson Reuters currently
expect the company to report roughly $41.5 billion in revenue for
2012, and earnings excluding special items of $39.77 per share.
Google's income figure for first three quarters of this year
will be also be split between its ongoing operations and the Home
business, Mr. Callinicos wrote.
Last month, Google agreed to sell the Motorola Home business to
Arris Group Inc. (ARRS) in a deal valued at roughly $2.35
billion.
Google had acquired the business as part of its $12.4 billion
purchase of Motorola Mobility, which closed last year.
Shares of Google closed Friday down nearly 1% at $704.51.
Write to John Letzing at john.letzing@dowjones.com
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