Yahoo's Mayer Steadies Ship
Yahoo Inc. Chief Executive Marissa Mayer appears to be holding the ship together.
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Six months into Ms. Mayer's tenure at the helm of the Internet company, Yahoo posted an 8% profit drop and a 2% revenue increase for its fourth quarter.
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While the results were far from robust©¤last week rival Google Inc. reported a 22% jump in quarterly revenue, excluding its hardware business©¤Yahoo beat analysts' expectations and showed its business was holding steady instead of deteriorating.
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In response, the Sunnyvale, Calif., company's shares rose 2.9% to $20.90 in after-hours trading, after a 4 p.m. Nasdaq Stock Market close at $20.31.
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For Ms. Mayer, the results were enough that the 'honeymoon period is going to last at least a couple of more quarters' while investors wait to see progress, said Sameet Sinha, an analyst at B. Riley & Co.
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Ms. Mayer was hired from Google last July to turn around struggling Yahoo. While she hasn't explicitly laid out a turnaround strategy, Ms. Mayer has revamped some Yahoo websites such as Yahoo Mail and Flickr, increased employee perks and begun to acquire small companies in order to add talent.
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The 37-year-old CEO has also said she wants Yahoo, which owns popular sports, news and entertainment sites, to become a force in mobile-device software for consumers and to provide 'customized' content for people based on their interests, background and location.
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