Thread: Yahoo posts fall in revenue and profit

Yahoo has reported a one per cent drop in revenue and a five per cent drop in profit for its fourth quarter, compared to the same period in 2007.

Revenue reached $1.8bn (£1.25bn) during the quarter ending 31 December, while profit reached $1.07bn (£747m).

Yahoo has had a difficult quarter. While the economic downturn has been taking its toll on all businesses, Yahoo's stock has been particularly volatile owing to its resistance to a Microsoft takeover and the collapse of the Google ad deal.

This was followed by Yahoo's renewed interest in a Microsoft deal, its subsequent rebuff by Microsoft chief executive Steve Ballmer, and the replacement of Yahoo chief executive Jerry Yang by Carol Bartz, in whom Wall Street investors have demonstrated little faith.

However, while Yahoo's operating costs increased by $278m (£194m) during the quarter, largely due to restructuring and a hefty goodwill impairment charge, the firm has driven down costs in sales and marketing and product development.

vnunet

Yes these global economy crisis are hearting web companies as well.

I think yahoo has the huge potential to comeout of this ..