Yahoo!'s revenue in Q1 jumps 22%
In its final months as a standalone company, Yahoo! is showing signs it can move toward growth.
Yahoo! made progress in its last quarterly earnings report before the sale of its main internet operations to Verizon Communications, posting adjusted revenue and profit that topped analysts’ estimates. The web portal, which had said the Verizon deal would close in the current quarter, on Tuesday narrowed the time frame to June.
No Related Stories Found
Yahoo! reported a 22.1 percent increase in quarterly revenue on Tuesday, ahead of the sale of its core internet business to Verizon Communications.
Yahoo said revenue from Mavens — the mobile, and social advertising units that it has touted as key emerging businesses — rose 35.6% to $529 million Net income attributable to Yahoo was $99.4 million,compared with a net loss of $99.2 million, a year earlier Revenue rose to $1.33 billion from $1.09 billion
The sale, which comes after Chief Executive Officer Marissa Mayer’s tumultuous tenure leading Yahoo!, was threatened by two massive hacks that exposed user account data. The companies agreed to reduce the value of the deal by about $350 million in February to about $4.5 billion after the telecommunications giant had earlier suggested concessions closer to $1 billion.
“As we enter our final quarter as an independent company, we are committed to finishing strong and planning for the best possible integration with Verizon," Mayer said in a statement on the results.
Revenue, excluding sales passed on to partners, was $833.8 million, compared with analysts’ average estimate of $814 million, according to data compiled Bloomberg. Profit, before certain items, was 18 cents a share. Analysts projected 14 cents.
Before Tuesday’s announcement, the company had failed to meet estimates for revenue and adjusted earnings in four of the last nine quarterly reports.