Yahoo Profit and Sales Match Estimates; Shares Fall
Yahoo on Tuesday posted second-quarter earnings of $0.11 per share -- in line with estimates -- and flat with earnings per share of of $0.11 in the same period a year ago.
Revenue for the three months ended in June rose 8% to $1.244 billion, compared with $1.123 billion in the second quarter of last year.
Yahoo shares lost roughly 3.77% in after-hours trade.
The results marked the sixth consecutive quarter in which Yahoo's profit has slid from the year-ago period.
Analysts surveyed by Thomson Financial last month had lowered their projections, when Yahoo said that its second-quarter results would likely hit the low end of the guidance the company had provided in April.
On Tuesday, Yahoo also offered a glummer outlook for the third quarter: Excluding ad commissions, the company predicts its revenue for the full year will range between $4.89 billion and $5.19 billion. In April, Yahoo's full-year forecast called for revenue to come in from $4.95 billion to $5.45 billion.
Yahoo shares had gained 83 cents, or 3.10%, to close Tuesday's regular trading session at $27.53. But after the second-quarter results and revised projections were released, the shares lost $1.04, or 3.77%, in after-hours trading.
The results came after a tumultuous period for the Internet portal company, which saw the resignation of Chief Executive Terry Semel and the return of company co-founder Jerry Yang to the top job. Semel remains on as non-executive chairman.
"I am focused on doing everything we need to do to strengthen our business, capture long-term growth opportunities and create increased value for our shareholders," Yang said in a statement.
Certain shareholders had vociferously criticized Semel's leadership, blaming him for, among other things, the loss of DoubleClick to arch-rival Google (a $3.1 billion acquisition), the loss of valuable ad sales ground to News Corp.'s MySpace social networking site, and a tepid Yahoo share price.