Just a day after the surprise announcement of ex-Google executive Marissa Mayer as the new Yahoo CEO, the struggling company reported second quarter results that underscore the challenge she faces in reviving its growth. Yahoo posted net
revenue of $1.08 billion in the quarter, flat with a year ago, and slightly below Wall Street analysts’ expectation of $1.1 billion. Net earnings of 27 cents per share, however, were up 47% from
18 cents a year ago, easily beating the consensus estimate of 23 cents a share.
Among other highlights:
-Display revenue ex-TAC was $473 million, a 1% increase from $467 million
for the second quarter of 2011.
-GAAP display revenue was $535 million, a 2% increase from $524 million.
-Search revenue ex-TAC was $385 million, a 4% increase from $371
million.
-GAAP search revenue was $461 million, a 1% decrease from $467 million.
"In the second quarter, non-GAAP earnings per share exceeded consensus and both display and search
revenue ex-TAC showed modest growth," said Tim Morse, chief financial officer, in a statement. "We also moved aggressively with new strategic agreements with Alibaba and Facebook and announced several
new partnerships including CNBC, Clear Channel and Spotify."
More to come after the conference call, at which Mayer is not expected to take part.