At last, some good news for Yahoo. The
troubled internet pioneer said Tuesday that first quarter profits
rose 28 percent to $286.3 million as its advertising revenue
grew on the strength of its search business.
Revenue was flat at $1.22 billion dollars, but cost-cutting at the
company enabled the profit increase. New Chief Executive Scott
Thompson recently announced that Yahoo would cut some 2,000 workers,
or 14 percent of its workforce, as it struggles to compete with
Internet rivals such as Google and Facebook, which attract larger
audiences than Yahoo does. Thompson last month also announced a major
reorganization.
"In the first quarter, Yahoo's results came in at the high end of
our guidance range and beat consensus on revenue and profits," said
Thompson, in announcing the results. "We also made changes to resize
the organization and establish a new leadership structure to quickly
deliver the best user and advertiser experiences at scale."
