Qihoo 360 Technology Co Ltd Earnings: Here’s Why Investors are Not Excited Now

Qihoo 360 Technology Co Ltd (NYSE:QIHU) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 0.09%.

Qihoo 360 Technology Co Ltd Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 10% to $0.22 in the quarter versus EPS of $0.20 in the year-earlier quarter.

Revenue: Rose 65.28% to $103 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Qihoo 360 Technology Co Ltd reported adjusted EPS income of $0.22 per share. By that measure, the company beat the mean analyst estimate of $0.17. It beat the average revenue estimate of $93.68 million.

Quoting Management: “We are very pleased to report our eighth consecutive quarter of substantive growth. We delivered another full year of strong operating results and continued to outperform the industry, despite a challenging macro environment,” commented Hongyi Zhou, Chairman and Chief Executive Officer of Qihoo 360. “We have set several new records in our financial and operating metrics, exceeding our internal expectations. Monthly active users of our PC-based products and services, which cover over 96% of the Chinese PC Internet population, increased to 456 million at the end of 2012. We have also established substantial leadership in mobile security and the number of Chinese smartphone users of 360 Mobile Safe, our key mobile security product, has reached 207 million.”

Key Stats (on next page)…