Yahoo met key expectations for Q207 with an 8 percent increase in revenues to $1.698 billion compared to the previous year’s $1.576 billion. Net income dipped slightly to $161 million compared with $164 million in Q206 but the $0.11 earnings per share was the same as last year. This is the first earnings report since the hasty resignation of Terry Semel as CEO, his replacement by co-founder Jerry Yang and Sue Decker’s promotion to president.
The release even starts with a declaration from Yang that he is “focused on doing everything we need to do to strengthen the business, capture long-term growth opportunities and create increased value for our shareholders.” Decker and new CFO Blake Jorgensen add their own talking points. Basically, once again, analysts and investors are being warned not to expect anything great in the short-term; it’s all about potential while Yahoo’s exec team also tries to convey a sense of urgency. The transition to a new-ish team has bought the company some time — as has some of the emerging metrics on Panama — but not much more than another quarter or two before even the most optimistic get frowny.
By the numbers:
– Yahoo’s fee revenue was up 12 percent, to $212 million; paid relationships were up 18 percent year-over-year, to 16.million — and were up 400,000 over Q1.
– Yahoo ended the quarter with 463 million unique users, up 12 percent percent year over year.
– 245 million registered users, up 18 percent year over year and 3 percent over Q1.