Feeds

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

New CEO silent on her plans as payouts hit Q2 income

Providing a secure and efficient Helpdesk

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. ®

Beginner's guide to SSL certificates

More from The Register

next story
Scrapping the Human Rights Act: What about privacy and freedom of expression?
Justice minister's attack to destroy ability to challenge state
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
Hey Brit taxpayers. You just spent £4m on Central London ‘innovation playground’
Catapult me a Mojito, I feel an Digital Innovation coming on
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
EU probes Google’s Android omerta again: Talk now, or else
Spill those Android secrets, or we’ll fine you
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.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.