Yahoo! Tops Wall Street Profit View
NEW YORK (TheStreet) -- Yahoo!(YHOO) surpassed Wall Street's expectations with its second-quarter earnings late Tuesday, sending shares slightly higher in after-hours action.
The Sunnyvale, Calif.-based Internet giant reported a non-GAAP profit of $190 million, or 27 cents a share, on revenue excluding traffic acquisition costs of $1.081 billion for the three months ended in June.
Analysts polled by Thomson Reuters expect Yahoo! to report earnings of 23 cents a share on $1.095 billion in revenue. Independent analysts polled by Estimize were looking for a profit of 22 cents a share on $1.085 billion in revenue. Analysts estimates usually exclude TAC.
Yahoo! said display revenue rose in the latest quarter to $473 million, a 1% increase year-over-year. Search revenue excluding TAC also rose, up 4% year-over-year to $385 million.
"In the second quarter, non-GAAP earnings per share exceeded consensus and both display and search revenue ex-TAC showed modest growth," said Yahoo! CFO Tim Morse in a press release. "We also moved aggressively with new strategic agreements with Alibaba and Facebook and announced several new partnerships including CNBC, Clear Channel and Spotify."
The results come a day after Yahoo! named Marissa Mayer, a former Google(GOOG) executive, as its new CEO.
The company plans to hold a conference call at 5 p.m. to discuss the results.
Shares of Yahoo! closed the regular session down 0.22% to $15.61. The stock was last quoted at $15.71, up 11 cents, on volume of more than 270,000, according to Nasdaq.com.
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--Written by Chris Ciaccia in New York
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