Yahoo Tops Q3 Profit Forecast

Yahoo enjoyed a double-digit lift in its display-advertising business and healthy growth in operating margins, enough to propel the company’s third-quarter profits past analysts’ expectations.

But Yahoo fell short of the Street’s projections for overall revenues for the period, however, and CEO Carol Bartz acknowledges that the company is in an ongoing period of retooling, an effort that has seen the sale or outsourcing of products and technologies deemed non-critical, such as the search-advertising partnership with Microsoft. Datamation has the story.

Yahoo (NASDAQ: YHOO) credited big gains in display advertising and margins for third quarter results that beat analysts’ expectations on the profit side. The company fell short of revenue forecasts, but earned $396 million or 29 a cents a share for the quarter. Excluding traffic-acquisition costs, revenue for the quarter came in at $1.12 billion, slightly less than the year ago quarter total of $1.13 billion.

Analysts polled by Thomson Reuters expected Yahoo to report earnings of 15 cents a share on sales of $1.13 billion. The company’s earnings were helped by a 13 cents a share benefit from the sale of HotJobs.

Read the full story at Datamation:

Yahoo Beats Profit Estimates

News Around the Web