Feeds

Yahoo! profits! derailed! by! restructuring! costs!

New CEO silent on her plans as payouts hit Q2 income

Remote control for virtualized desktops

A hefty restructuring bill has pushed troubled web firm Yahoo!'s second quarter profit down 4 per cent.

The firm announced its results just a day after appointing its latest CEO, ex-Googler Marissa Mayer, the third chief to take the reins in little over a year.

Yahoo! said profit eased down to $226.5m in Q2, slipping from $236.9m a year ago, while revenue was more or less the same. After deducting commissions to affiliates that brought visitors to Yahoo!'s websites, the web firm's net revenue for the period was $1.08bn, matching up to $1.07bn last year. However, restructuring costs of $129m – mainly payouts to axed staff – weighed down the quarter's profits.

Last summer, then-CEO Scott Thompson, who had only been in the saddle for five months after taking over from ousted chief Carol Bartz, had to quit his post after an embarrassing issue with some (possibly unintentional) porky-pies in his CV.

That put Ross Levinsohn in the chair as interim CEO while Yahoo! tried to decide what to do next, and it was rumoured he might stay. However, the firm surprised everyone by appointing Google darling Mayer to the post instead.

The web biz's attempts to revive its flagging fortunes were highlighted in the results announcement: they included Alibaba's partial repurchase of Yahoo!'s stake in it and the quick tidy-up of its pending patent battle with Facebook.

Yahoo! didn't make any predictions for its full-year financials, unsurprising given that Mayer was not on the conference call to investors and has yet to make her plans for the firm known. ®

Intelligent flash storage arrays

More from The Register

next story
MI6 oversight report on Lee Rigby murder: US web giants offer 'safe haven for TERRORISM'
PM urged to 'prioritise issue' after Facebook hindsight find
Assange™ slumps back on Ecuador's sofa after detention appeal binned
Swedish court rules there's 'great risk' WikiLeaker will dodge prosecution
You think the CLOUD's insecure? It's BETTER than UK.GOV's DATA CENTRES
We don't even know where some of them ARE – Maude
NSA mass spying reform KILLED by US Senators
Democrats needed just TWO more votes to keep alive bill reining in some surveillance
prev story

Whitepapers

Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
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.
Designing and building an open ITOA architecture
Learn about a new IT data taxonomy defined by the four data sources of IT visibility: wire, machine, agent, and synthetic data sets.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
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?