Yahoo profits up ahead of Verizon deal
YAHOO’S quarterly profits shot up by more than double to US$163 million even as it prepares for a take over by US telco Verizon.
“We remain very confident, not only in the value of our business, but also in the value Yahoo products bring,” the company’s chief executive Marissa Mayer said in the earnings release, which beat expectations despite only a slight rise in revenue.
Ms Mayer said Yahoo is busy preparing for the Verizon takeover despite recent revelations about a major data breach that may affect the deal.
Revenue for the quarter that ended on September 30 came to $1.3 billion, up from the $1.2 billion in the same period a year earlier.
Mobile revenue during the quarter reached $396 million, up from $271 million reported the previous year.
The internet pioneer agreed in July to sell its core assets to Verizon for $4.8 billion. The deal would separate the Yahoo internet assets from its more valuable stake in Chinese online giant Alibaba.
Verizon said last week that a recently revealed hack affecting 500 million Yahoo customers worldwide could have a “material” effect on the $4.8 billion deal. –