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Sina profit rises 38pc as adverts go online

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Sina Corp, which runs the biggest website on the mainland, said second-quarter profit surged 38.4 per cent as more companies bought online advertisements.

Net income rose to US$14.5 million from US$10.4 million a year earlier, beating the US$12 million estimate in a Bloomberg analyst survey.

Sales rose 11 per cent to US$59.8 million and the firm estimated that third-quarter revenue would range between US$63 million and US$65 million.

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'This is the low end of market estimates,' said Dick Wei, China internet analyst of JP Morgan.

Shares of Sina dropped 4.9 per cent to US$39.62 in after-hour trading on the Nasdaq on Monday.

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Its key income driver in the second quarter was online advertising, which grew more than 40 per cent and generated 68.9 per cent of total revenue.

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