JSM Financial: Yahoo!’s Q1 earnings nearly triple on the back of surging display ad sales.

April 21, 2010 - PRLog -- First quarter earnings for the Internet giant Yahoo nearly tripled as its revenue moved up for the first time in more than 12 months, JSM Financial sources report.

The recently released results, available to JSM Financial, represent the best quarterly performance by Yahoo since the company hired Carol A. Bartz as chief executive in order to engineer a turnaround 15 months back.

The Sunnyvale California based firm posted profit of $310 million, almost triple the $118 it earned in the first quarter of last year, JSM Financial research shows. Earnings per share totaled 22 cents, up from 8 cents last year.

The results reflect an increase in online advertizing which is Yahoo’s main source of income, with advertisers spending more freely as the worst recession in over 70 years recedes.

"We delivered what I'd call a solid quarter," JSM Financial believes the Yahoo chief executive said on an earnings call. "Large advertisers came back...and that means their purse strings are starting to loosen up."

The company’s revenue was up a modest 1 per cent to $1.6 billion, the first increase in Yahoo’s quarterly revenue since the third quarter of 2008.

"I don't think it's been any secret that we've had a tough road to hoe in search," JSM believes Carol A. Bartz was quoted as saying, but “all that has passed.”

Yahoo is forcasting revenue of between $1.6 and $1.68 billion for the second quarter, excluding traffic acquisition costs, where analysts are predicting $1.2 billion.

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