Yahoo posts lacklusture Q1’16 results as sale looms
The under pressure internet company posted Q1 revenue of $1.09 billion as opposed to $1.23 billion for the same period last year.
The internet company, which is courting potential buyers as it looks to offload its core business of content and search, posted Q1 revenue of $1.09 billion as opposed to $1.23 billion for the same period last year.
MaVeNS revenue (Mobile, Video, Native and Search) saw a YoY increase ending at $390 million as opposed to $365 million in Q1’15. Revenue from mobile saw a slight increase in Q1’16 and ended at $260 million as opposed to $234 million in Q1’15. However, desktop revenues fell YoY. Mobile revenue represented 21 per cent of traffic-driven revenue in the first quarter of 2015, and increased to 25 per cent in the first quarter of 2016.
Yahoo also revealed that the number of ads sold increased 8 per cent compared to the first quarter of 2015, while price-per-ad decreased 6 per cent compared to the first quarter of 2015.
"We delivered financial results at the high end or above our guidance ranges. We also achieved free cash flow of $297 million through improved working capital efficiencies, excellent cost controls, reduced capital expenditures and a large tax refund," said Ken Goldman, CFO of Yahoo. "While we remain focused on the strategic alternatives process as a top priority, our employees showed their determination and commitment to Yahoo by executing on our operating plan."
