Yahoo Inc.’s woes don’t seem to end with the changing position, as its second-quarter profit slipped slightly while revenue growth remained lackluster.
Company’s quarterly earning decreased by 2 percent as it reported $160.6 million, or 11 cents per share, earning from $164.3 million, or 11 cents per share, at the same time last year. This is company’s sixth straight quarter loss.
Revenue for the quarter ended in June recorded at $1.7 billion, an 8 percent improvement from last year. After subtracting commissions paid to its online advertising partners, Yahoo’s revenue registered at $1.24 billion.
Jolted with the quarterly result, Yahoo lowered its revenue expectation for the full year to range between $4.89 billion and $5.19 billion. Earlier it has projected revenue between $4.95 billion to $5.45 billion. Analysts assume it near at $4.99 billion to $5.40 billion for the year.
Shares in the Internet media company fell 4.2 percent in extended trade. Yahoo shares gained 83 cents to finish at $27.53.
Yahoo’s popularity, which has degraded in the resent time, has inundate its ads, whereas arch rival Google and new social network sites such as News Corp.’s MySpace and Facebook, also hit hard on its business.
To win its previous position back, Yahoo! changed its top position with Jerry Yang; the company’s co-founder promised a new strategic plan as he sought to convince investors that he is open to change and able to take on rapidly growing rival Google Inc.
Company has pen downed three priorities: help advertisers gain insight into Yahoo customer interests, create a more open technology platform for Internet users and arrange more partnerships such as those struck in the past year with eBay Inc., Comcast Corp. and newspapers.
I can only hope that Jerry Yang, will succeed in his mission, but on the ground level it seems difficult as Google is expanding rapidly.
Via: USA-Today
