Feeds

Yahoo! conjures! growth! from! flat! first! quarter!

Man behind curtain fully engaged

Top 5 reasons to deploy VMware with Tegile

Yahoo!'s search pact with Microsoft, cost cutting and business growth helped boost the internet's second biggest search company in the first three months of 2010.

The company Tuesday announced net income jumped 163 per cent for the first three months to March 31 while earnings per diluted share were up 175 per cent to $0.22.

Revenue, though, was actually flat - growing a single per cent to $1.59bn.

To give you an idea of what kinds of currents are blowing through the economy now the US recession is generally agreed to be over, and Google has re-calibrated its ads engine, Google announced a 23 per cent leap in revenue to $6.77bn in the first three months of 2010.

The story behind Yahoo!'s numbers? Revenue from display advertising on Yahoo!-operated sites grew 20 per cent.

Separately, AdGooroo Tuesday reported a 12 per cent increase in Yahoo!'s number of first-page advertisers and also in total share of advertisers. The analyst said much of the growth came from outside the US.

Cost cutting in the past year or so helped Yahoo! report an 86 per cent increase in income from operations to $188m. In the first quarter of 2009 Yahoo! announced it planned to cut another five per cent of staff as revenue fell 13 per cent and net income 78 per cent.

Yahoo!'s first-quarter earnings for 2010 were also boosted by the sale of the Zimbra email business to VMware and the arrival of cash from Microsoft as part of a search pact.

Without VMware and Microsoft, Yahoo's EPS was $0.15 per share.

Zimbra added five cents to the EPS although Yahoo! and VMware did not reveal how much Zimbra was sold for.

Microsoft, meanwhile, paid $78m - the first instalment of its $150m to cover transaction costs under its 10-year search pact with Yahoo!. That added two cents to Yahoo!'s diluted EPS. ®

Beginner's guide to SSL certificates

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Special pleading against mass surveillance won't help anyone
Protecting journalists alone won't protect their sources
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
Vodafone to buy 140 Phones 4u stores from stricken retailer
887 jobs 'preserved' in the process, says administrator PwC
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
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?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.