Infrastructure

Home page

Infrastructure

Yahoo!â€™s net profit slips 25% last year

25 January 2012 08:03 (UTC +04:00)

Baku - APA-Economics. Yahoo!’s new chief executive Scott Thompson tried to manage expectations when he presented his first set of results, as the company’s sales and profit fell slightly in the fourth quarter.

The company earned $296m (Â£189.5m) in net income in the three months ended December 31, or 24 cents a share, compared with $312m, or 24 cents a share, in the year-ago period.

Analysts polled by Thomson Reuters were expecting 24 cents per share in profit.

In the fourth quarter, net revenue, which excludes fees that Yahoo! shares with web partners, of roughly $1.17bn, compared with $1.205bn the same time last year?

Shares of the company slipped 4 cents to $15.65 in after-hours trade.

Mr Morse said that macroeconomic factors, particularly in Europe, resulted in weaker than expected display advertising revenue in the fourth quarter and continued to be a concern.

But he said Yahoo was seeing some positive trends in the new year, noting that some large advertisers that had limited their ad spending with Yahoo in 2011, had already committed to "meaningful upfronts" in 2012.

The company projected that its net revenue in the first quarter would range between $1.025bn and $1.105bn.