Yahoo Reports 51% Drop in Profit; Plans to Cut “At Least 10% Of Work Force”
2008 October 21
Yahoo reported earnings after the close of the Stock Market today.
Yahoo reported revenue of $1.79 billion in the quarter ended Sept. 30, an increase of 1% from the $1.77 billion in the same quarter one year ago
Yahoo reported net income of $54 million, or 4 cents per share, a decline of 51% from a year ago.
Yahoo also announced a restructuring effort that seeks to cut annual expenses by $400 million, including plans to cut “at least” 10% of its work force, or more than 1,500 employees.
Yahoo is up 5% in after hours trading at $12.70, after closing at $12.07.
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Writing is on the wall for all of us it would seem.
I’d say we have a year +/- to get out of domain parking and into something new……unless, some new platform or major competitor steps in to pick up the slack.
Johnny
Microsoft may come back around and scoop up Yahoo
What the executive management at yahoo has to do is use their creative side and offer more variety to the yahoo website user / customer and make more deals with other online company’s to expand their online presence.
There are two primary choices in life: to accept conditions as they exist, or accept the responsibility for changing them. -Dr. Denis Waitley
Any thoughts on how Microsoft may have done this quarter? Think they release their earnings late today.
Jody
Personally I don’t see their earning to be above expectations.
Vista in my opinion is an inferior product.
PC sales have slowed as Apple sales have increased and I think that has a lot to do with Microsoft’s operating system.
I have no idea of how their search engine is doing with all the giveaways, but I have not heard any buzz on it.
I don’t know what will drive profits above expectations.
Guess we will see shortly
UPDATE
Microsoft posted slightly higher quarterly profit of $4.37 billion as revenue rose 9%, both above expectations, but the software giant cut its full-year outlook. Still, Microsoft shares moved higher in after-hours trading, reflecting relief the company doesn’t see a more significant impact from the economic downturn.
Good points. Forgot what a failure Vista was. Looks like MS Office & Xbox gave them a boost.
It hasn’t bottomed yet… Things will get a lot worse for Yahoo before it gets any better. Sucks but that is just the reality. Look at the past year or two… They had so many opportunities or at least fix things. Unbelievable.