After Acquisitions Aplenty, Yahoo Q2 Beats With EPS 35 Cents, But Revenue Flat Again At $1.07B The day for purple exclamation points (or lack thereof) has arrived. Yahoo just released its earnings report for the second quarter of 2013, with better-than-expected (non-GAAP) net earnings of $386 million, or 35 cents per share. Revenue (excluding traffic acquisition costs) was flat compared to last year, at $1.07 billion. Marissa Mayer just passed her one-year anniversary as CEO of Yahoo, and so far, expectations have been fairly low for the company, which has struggled mightily in recent years. Mayer has been busy instituting ambitious plans for the company, beginning with a memorable acquisition spree that seems to have included every forgotten or “B List” startup on the planet. But Yahoo’s future is still decidedly up in the air, and many remain unsure if Mayer can lead Yahoo through such an epic turnaround. Nonetheless, enthusiasm has begun to build, as the company’s shares have been soaring of late. As a result, analysts predicted that the company would report revenue of $1.08 billion and 30 cents for EPS (up 11 percent for the year). Wall Street typically evaluates Yahoo on an ex-TAC basis, including the cost of acquiring traffic. Ex-TAC, revenue was , . In turn, search revenue has , while display revenue was , and search revenue was . As Mayer begins her second year as CEO of Yahoo — while her leadership is seen as crucial for turning the company around — expectations are going to increase. She’s been doing her best to tamp down expectations, and that will continue to work for a little while, but eventually investors are going to want to see real results — and growth. Yahoo has been showing some slight gains on Google and Microsoft in search, but it’s got plenty of work to do elsewhere. As a result of its acquisition spree, Yahoo has been acquiring a ton of engineering and product talent, and — it would like to have you believe — that it’s been picking these startups up at rock bottom prices. By doing so, Yahoo and Mayer expect that it will be able to rebrand its mobile products and begin moving more aggressively into social marketing segments, along with reaching broader demographics and just generally putting a more attractive (inter)face to the world. Updating bit.ly/1blFuRw tcrn.ch/18jxwox Source: TechCrunch
Posted on: Tue, 16 Jul 2013 20:16:20 +0000
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