Yahoo beats lowered expectations, says ‘substantial progress’ made on sale
Sunnyvale-based YahoI Inc. today reported its Q1 earnings and said it had made “substantial progress towards potential strategic alternatives for Yahoo” – meaning finding a buyer. But unless more is said during the conference call, who that buyer may end up being remained a mystery.
The company actually managed to beat forecasts, though that was due mostly to lowered expectations. The numbers say the company is bleeding revenue and seriously in the red. Anyone who has looked at the black book and seen rosy numbers may well want to pay attention to today’s figures.
Here is Yahoo’s first quarter earnings release:
SUNNYVALE, Calif. – April 19, 2016 — Yahoo! Inc. today reported results for the quarter ended March 31, 2016.
“I’m pleased that we delivered Q1 results in line with our expectations. Our 2016 plan is off to a solid start as we continue to focus on driving efficiency, lowering costs, and improving long-term growth,” said Marissa Mayer, CEO of Yahoo. “In tandem, we made substantial progress towards potential strategic alternatives for Yahoo. Our board, our management team, and I are completely aligned on this top priority for shareholders.”
Strategic Alternatives Update
- The Board of Directors at Yahoo formed a strategic review committee of independent directors to consider strategic alternatives for the company alongside its continued consideration of a reverse spin. Since the launch of the process in February, management has worked diligently with the committee and its independent legal and financial advisors to engage with interested strategic and financial parties.
- Introduced an enhanced mobile search experience making it easier for users to get the most relevant, specialized information about sports teams, players, presidential candidates and movies.
- Launched new features for Yahoo Mail Android and iOS apps that help users stay organized and get more things done quickly. New features include customizable swipe options, actionable notifications, recent attachment features, new colorful themes and 3D gestures.
- Unveiled the new Yahoo App and Homepage that allows users to more easily access related news they’re interested in, share their commentary on news they read, and stay apprised of developments with real-time notifications when stories are updated.
- As part of our commitment to delivering the best sports content experience on Yahoo Sports, we introduced Yahoo Esports, a premium destination that aims to become the most comprehensive guide for esports fans. The site features reporting, blogging, video commentary, match pages, team rosters, stats, related schedules, scores and a live chat feature where fans can connect with the community.
- Yahoo Sports continued to build on past success in live streaming events through new and expanded partnerships with professional sports organizations like the NHL, PGA and MLB.
- Announced that Yahoo Finance, the site that provides users with unparalleled access to data, analysis and insights, will host the first-ever live stream of the Berkshire Hathaway annual shareholders meeting.
- Held three well-attended Yahoo Mobile Developer Conferences in San Francisco, Taiwan and Hong Kong where Yahoo introduced new tools as part of the Yahoo Mobile Developer Suite designed to help developers grow their apps and build their businesses. New features include a redesigned Flurry Analytics platform, a new Flurry App, tvOS analytics support and direct ad serving capabilities.
- In March 2016, we appointed two new directors who each bring a strong expertise in complex business matters; Cathy Friedman and Eric Brandt. Cathy Friedman spent 23 years at Morgan Stanley as a strategic and transaction advisor. Eric Brandt brings significant financial and business management experience as a former pharmaceutical and technology executive, and was most recently involved in the acquisition of Broadcom Corporation by Avago.