Mayer’s a No-Show as Yahoo Unveils Not-So-Terrible Q2 Earnings

Display profitable again but search returns to red

Of course Yahoo had a not-so-terrible second quarter with no CEO readily able to take the credit. Newly-crowned CEO Marissa Mayer decided to skip the session, as did recent interim CEO Ross Levinsohn.

After beating Wall Street estimates in Q1, Yahoo saw revenue slip by 1 percent to $1.22 billion year-over-year. But that was actually good enough to meet some analysts’ estimates. And that's in spite of the company's recent board and CEO shakeups and $129.1 million in restructuring costs likely tied to the layoffs announced in April.

Regardless of one particular quarter, much larger questions persist over Yahoo, ranging from the company's overall focus to the fate of its ad tech businesses. But the company has reversed three straight quarters of year-over-year declines in display ad revenue. In Q2 the segment returned to the black with $535 million in revenue on 2 percent growth despite only 1 percent year-over-year growth in unique visitors to Yahoo properties.

Search revenue had also bounced back in Q1 after five straight periods of decline, but also it returned to the red in the second quarter, dropping 1 percent to $461 million, according to Yahoo. It sure didn't help that Yahoo's search volume was way down; the number of search queries on Yahoo fell 17 percent year-over-year, per comScore, and search pageviews dropped 13 percent.

But then again no one could take the credit, or the blame, for Yahoo's uneven Q2 performance. While Scott Thompson manned the helm for the period’s first half, he was ousted and Ross Levinsohn took over as interim CEO right around the quarter’s midway point. And Yahoo’s board hardly deserves little credit since it underwent a makeover at the same time Thompson got the boot. Three months from now, it will be Mayer's turn. If she's still there.

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