Yahoo! delivered a US$189m profit on third quarter revenues of US$1.6bn for its third quarter. The profit – up 107pc on last year – was helped by the sale of HotJobs.
Excluding restructuring charges of US$17m in the third quarter of 2009 and US$6m in the third quarter of 2010, income from operations increased 80pc year over year.
Net earnings per diluted share for the third quarter of 2010 was US$0.29, compared to US$0.13 in the third quarter of 2009, a 126pc increase.
Net earnings per diluted share for the third quarter of 2010 included a benefit of US$0.13 per diluted share related to the gain on sale of HotJobs, and net earnings per diluted share for the third quarter of 2009 included a benefit of US$0.04 per diluted share related to the gain on sale of Yahoo!’s direct investment in Alibaba.com.
“We delivered a solid quarter with good display advertising revenue growth, big gains in operating income, and margins that were double what they were last year,” said Carol Bartz, president and CEO of Yahoo!
“Because we recognise the tremendous value of our assets, we also dramatically stepped up our stock repurchases. We’ve now bought back more than 7pc of the company’s stock this year alone.
“We’ve made substantial progress this year toward executing our strategies for enhancing profitability and resuming revenue growth. Margins are expanding; owned and operated display advertising is up 18pc so far this year, product rollouts are accelerating thanks to modernisation of our underlying platforms; and we continue to implement our search alliance with Microsoft on schedule,” continued Bartz.
“We’ve disposed of non-core assets while making strategic acquisitions like Associated Content and Citizen Sports, and we’ve developed key partnerships with Facebook, Twitter, and Zynga to enhance the Yahoo! experience for our 600 million users,” Bartz said.