Yahoo Q2 Revenues Flat, No Help For Shareholder Meeting
Analysts expectations were low and, depending on the analyst, Yahoo barely met or missed them. According to the press release, “Revenues were $1,798 million for the second quarter of 2008, a 6 percent increase compared to $1,698 million for the same period of 2007.” Net income fell 18 percent. The company suffered from the general sluggishness of the advertising economy but may also have taken a hit from all the distractions of MicroHoo and Carl Icahn’s proxy battle. Icahn is now becoming a Yahoo board member after a publicly announced compromise.
The irony here — proving that Wall Street is all about expectations — is that after this generally poor performance, Yahoo stock is up just over 2 percent in after hours trading. The reason is that some analysts feared a worse performance amid all the chaos and frenzy of the past several months. By contrast, Google grew revenues 39 percent from the previous year and suffered a 10 percent share decline after it announced Q2 revenues last week.
Here are some slides from the earnings call presentation:
Yahoo’s annual shareholder meeting is August 1, 2008.