Yahoo for the first time in a long time shows an increase in financial performance

The first quarter of 2012 was successful for Yahoo. In any case, it was in this quarter that the company's financial indicators began to grow. Prior to this, for three years, Yahoo reports showed only a fall. It is clear that the company’s shares against the background of such good news immediately began to grow in price, gaining 4.6%. And the current CEO, Scott Thompson, also inspires investor confidence.

As for the revenue growth shown, it is not so large, only 1%. This year, the company received $ 1.08 billion in revenue. Experts believe that this growth, although not very large, was made possible thanks to the growth of the online advertising market in the United States. In addition, management continues to scale back cuts that lead to cost reductions. True, despite the growth, the user base of the company's services is still decreasing - users are switching to the services of other companies.

According to Yahoo management, as well as independent experts, in the second quarter financial performance will also increase, to about the level of 1.06-1.14 billion US dollars. As for contextual advertising, the company's revenue in this sector immediately grew by 8%. In general, it is too early to talk about consolidating success, but there is hope that the company will begin to work stably.

Now Yahoo is also negotiating with its Asian partners, including the Alibaba Group and Yahoo Japan. These companies work well, and Yahoo’s revenue is growing in this sector. Yahoo, among other things, owns a rather large package of patents, some of which the management is going to sell. As previously reported, the corporation will develop such a direction as online advertising, slowing down the development of other areas.

Via techcrunch