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Yahoo! posts improved third quarter results
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Author: Sayu
26.10.10 10:26
Yahoo has posted modest revenue growth, with a 2% year-on-year rise in income for the three months to September.

Revenue for the quarter was £1.02bn in Q3 2009 and is due to the company’s increased focus on positioning itself as a web portal with increased advertising opportunities.

Display revenues were up 17% on the previous quarter, but this was offset by a 7% decline in search revenue.

Yahoo did post improved profit margins due to scaling back its operating costs and shedding some of its assets. Operating margin also expanded from 5.8% in the third quarter of 2009 to 11.8% in Q3 2010.

Yahoo’s revenue forecasts of £794,250m for the fourth quarter failed to impress investors, prompting renewed speculation that major shareholders are calling for a change of leadership.

The results have fuelled previous speculation that Yahoo may consider joint approaches from private equity firms and rival online giant AOL.

Source: NMA

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