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MarTech » Marketing Management » Yahoo Q3 revenue beats estimates, though search and display revenues were down

Yahoo Q3 revenue beats estimates, though search and display revenues were down

Amid overall declines in search and display advertising, so-called MaVeNS revenue was up 24 percent to $524 million.

Greg Sterling on October 18, 2016 at 5:51 pm

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In what could be its next-to-last earnings release as an independent company, Yahoo posted better-than-expected results this afternoon. Total revenue came in at $1.305 billion, just beating consensus financial estimates of $1.30 billion.

This comes amid some uncertainty about the status of the more than $4.8 billion acquisition of the company by Verizon. The widely reported Yahoo data breach is being considered as a potentially “material” event by Verizon. However, it’s unlikely to totally kill the deal.

Yahoo Q2 2016

Yahoo paid search clicks were off in Q3 by 22 percent year over year, but price per click was up nine percent. Overall search revenue was down 15 percent. Display ads sold was down five percent, but the price per ad was up slightly.

GAAP Search revenue was $703 million. GAAP display revenue was $476 million, off seven percent year over year. Some analysts had expected a much larger decline in display advertising. Other revenue was $126 million.

Yahoo Q2 2016

Yahoo once again highlighted its so-called MaVeNS units (mobile, video, native and social). That’s the company’s growth story. In those areas, revenue was up 24 percent to $524 million.

Assuming it still happens, the Verizon-Yahoo acquisition is scheduled to close in Q1 next year.


Opinions expressed in this article are those of the guest author and not necessarily MarTech. Staff authors are listed here.


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About The Author

Greg Sterling
Greg Sterling is a Contributing Editor to Search Engine Land, a member of the programming team for SMX events and the VP, Market Insights at Uberall.

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