Yahoo reported second quarter results for 2013 in an earnings call that was livestreamed. from the company’s Sunnyvale studios.
Yahoo reported revenues of $1,135 million for the second quarter of 2013, a 7 per cent decrease from the second quarter of 2012. Revenue excluding traffic acquisition costs was $1,071 million for the second quarter of 2013, a 1 percent decrease compared to the second quarter of 2012. Adjusted EBITDA for the second quarter of 2013 was $369 million, a 7 percent decrease compared to the same period of 2012.
Yahoo’s income from operations was $137 million for the second quarter of 2013, a 150 percent increase from the second quarter of 2012 (which reflected a restructuring charge of $129 million).
Yahoo’s net earnings for the second quarter of 2013 was $331 million, a 46 percent increase from the same period of 2012. Net earnings per diluted share was 30 cents in the second quarter of 2013, compared to 18 cents in the second quarter of 2012.
Yahoo – Second Quarter 2013 Financial Highlights
Display:
- Display revenue was $472 million for the second quarter of 2013, a 12 percent decrease compared to $535 million for the second quarter of 2012.
- Display revenue ex-TAC was $423 million for the second quarter of 2013, an 11 percent decrease compared to $473 million for the second quarter of 2012.
- The number of ads sold (excluding Korea) decreased approximately 2 percent compared to the second quarter of 2012.
- Price-per-ad (excluding Korea) decreased approximately 12 percent compared to the second quarter of 2012.
Search:
- Search revenue was $418 million for the second quarter of 2013, a 9 percent decrease compared to $461 million for the second quarter of 2012.
- Search revenue ex-TAC was $403 million for the second quarter of 2013, a 5 percent increase compared to $385 million for the second quarter of 2012.
- Paid clicks (excluding Korea) increased approximately 21 percent compared to the second quarter of 2012.
- Price-per-click (excluding Korea) decreased approximately 8 percent compared to the second quarter of 2012.
Cash Balance:
- Cash, cash equivalents, and investments in marketable securities were $4.8 billion as of June 30, 2013 compared to $6 billion as of December 31, 2012, a decrease of $1.2 billion.
- During the second quarter of 2013, Yahoo repurchased 25 million shares for $653 million and used a net $1 billion in cash for acquisitions (including a net $970 million to acquire Tumblr). These outflows were offset by $846 million in cash from Alibaba Group to redeem the Alibaba Group Preference Shares. The cash received represents the redemption value and includes the stated value of $800 million plus dividends of $46 million.