Yahoo reported their forth quarter results this week with net revenue and profit falling slightly this quarter as it experienced year-over-year declines in both its search and display ad business. Yahoo’s Chief Financial Officer Tim Morse said that macroeconomic factors, particularly in Europe, resulted in weaker than expected display advertising revenue in the fourth quarter and continued to be a concern. As the Internet giant tries to turn it self around, 2012 has been a challenging year, but one that might have some light at the end of the tunnel as a new CEO was appointed two weeks ago. Co-Founder Jerry Yang also abruptly resigned from the company he created in 1995.
The company earned $296 million in net income in the three months ended December 31, or 24 cents a share, compared with $312 million, or 24 cents a share, in the year-ago period.
The fourth quarter also saw Yahoo’s net revenue, which excludes fees that Yahoo shares with Web partners, of roughly $1.17 billion, compared with $1.205 billion the same time last year.
Display ad revenue, Yahoo’s main source of revenue, totaled $612 million for the quarter. Search ad revenue for the quarter came in at $465 million, $48 million of which stemmed from its partnership with Microsoft.