Feeds

Yahoo! profits! drop! slightly!

But the market expected it!

Choosing a cloud hosting partner with confidence

Yahoo! today reported a slight drop in quarterly profits from last year, but a figure in line with previously lowered expectations. The company's second quarter results are the first dose of earnings to arrive since co-founder Jerry Yang replaced Terry Semel as CEO.

Yahoo!'s net Q2 income was $161m, matching market estimates but falling short of the $164m the company earned a year ago. Sales reached $1.7bn for the quarter, up 8 per cent from the same period last year. Excluding payments made to advertising partners, Yahoo!'s sales were at $1.24bn. The results complete six straight quarters of declining profits for the portal.

"I am focused on doing everything we need to do to strengthen our business, capture long-term growth opportunities and create increased value for our shareholders." CEO Jerry Yang said in a statement. "By sharpening our focus, speeding execution, building our technology and talent, and investing in key growth areas, we can put Yahoo! on a clear path to fulfill its potential as an Internet leader.”

Yahoo! is still recovering from an executive shuffle performed last month under pressure from unhappy shareholders to catch up with Google in the search advertisement market. Including usurping Semel as CEO, Yahoo! lost Wenda Millard, the company's longtime chief sales officer.

Earlier this month, Yahoo! unveiled a new banner ad platform called SmartAds that allows marketers to target web surfers according to their online behavior. In February, the company introduced Project Panama, an advertising program designed to make text ads more relevant to searches. The company claims the new software is boosting results.

"Over the last several months, we have made considerable progress driving much tighter focus within our core operations to drive growth," said Yahoo president, Susan Decker. "This will take time and continued investment, but we are operating with a great sense of urgency."

Yahoo forecasts third quarter revenue of $1.17bn to $1.2bn. For end of year results, the company expects revenue of $4.89bn to $5.19bn. ®

Internet Security Threat Report 2014

More from The Register

next story
Bono apologises for iTunes album dump
Megalomania, generosity and FEAR of irrelevance drove group to Apple deal
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.