OMEN
07-20-2010, 10:50 PM
IDG News Service -
Yahoo's second-quarter revenue was $1.60 billion, coming in on the low end of the company's expectations and falling short of analyst predictions.
Revenue for the quarter ending June 30 was up just 2% from the same quarter last year. Yahoo had expected second-quarter revenue to fall between $1.60 billion and $1.68 billion.
Subtracting commission and other fees paid to partners, revenue was $1.13 billion, short the $1.16 billion that analysts polled by Thomson Financial were hoping for.
The results are not likely to appease investors who have been growing impatient waiting for a turnaround at Yahoo. Google, the search giant and a competitor to Yahoo, recently reported second-quarter revenue that was up 24% over last year.
Yahoo's profit, however, rose faster than expected. Net income for the quarter was $213 million, up 51% over the same period last year.
On a pro forma basis, which excludes certain items, net income was $219.88 million, or $0.16 per share, more than the $0.14 that analysts were expecting and up from $145.40 million and $0.10 a year ago.
In a statement, Yahoo's CEO Carol Bartz said she was pleased with the results, pointing out "healthy" growth in display advertising, which was up 19% in the quarter compared to the same period in 2009.
Yahoo reported that revenue from marketing services, or advertising revenue, was up 4% while revenue from fees, associated with services like Flickr Pro, was down 16% over the same quarter last year.
Yahoo said that revenue for the third quarter is expected to be in the range of $1.57 billion to $1.65 billion.
Company executives plan to speak further about the results in a conference call.
Yahoo's second-quarter revenue was $1.60 billion, coming in on the low end of the company's expectations and falling short of analyst predictions.
Revenue for the quarter ending June 30 was up just 2% from the same quarter last year. Yahoo had expected second-quarter revenue to fall between $1.60 billion and $1.68 billion.
Subtracting commission and other fees paid to partners, revenue was $1.13 billion, short the $1.16 billion that analysts polled by Thomson Financial were hoping for.
The results are not likely to appease investors who have been growing impatient waiting for a turnaround at Yahoo. Google, the search giant and a competitor to Yahoo, recently reported second-quarter revenue that was up 24% over last year.
Yahoo's profit, however, rose faster than expected. Net income for the quarter was $213 million, up 51% over the same period last year.
On a pro forma basis, which excludes certain items, net income was $219.88 million, or $0.16 per share, more than the $0.14 that analysts were expecting and up from $145.40 million and $0.10 a year ago.
In a statement, Yahoo's CEO Carol Bartz said she was pleased with the results, pointing out "healthy" growth in display advertising, which was up 19% in the quarter compared to the same period in 2009.
Yahoo reported that revenue from marketing services, or advertising revenue, was up 4% while revenue from fees, associated with services like Flickr Pro, was down 16% over the same quarter last year.
Yahoo said that revenue for the third quarter is expected to be in the range of $1.57 billion to $1.65 billion.
Company executives plan to speak further about the results in a conference call.