Yahoo Laying Off as Many as 150 Employees
Having already given the ax to 600 workers a month ago, Yahoo said Tuesday that as many as 150 more will be laid off.
The news came as Yahoo reported that cost-cutting measures helped the Internet giant more than double net earnings in the fourth quarter to $312 million even as revenue fell 12% to $1.7 billion.
Stripping out the share it gives to traffic-acquisition partners, Yahoo revenue fell 4% to $1.3 billion.
On that basis, revenue for display advertising increased 16% to $567 million while revenue for search advertising fell 18% to $388 million.
While Yahoo has shed a chunk of its employees -- down to roughly 13,500 worldwide -- since Carol Bartz took over as CEO two years ago, she said during a conference call Tuesday that she intends on making other hires to create new products.
Yahoo also is focused on media content creation via the hiring of bloggers and editors and a few strategic acquisitions. But when an analyst asked about costs and employees associated with that effort, Bartz indicated that the real challenge is in steering the relevant content to the proper users.
Her goal, she said, is to deliver 630 million unique experiences to their users, each one based on their individual interests and geographic locations.
"It's about focus," she said.
Yahoo shares fell 7 cents Tuesday to $16.02 and an additional 2 percent after the closing bell.
Meanwhile, the value of Google, Yahoo's chief rival, briefly overtook that of 100-year-old IBM on Tuesday before its shares settled in for a loss. At the end of trading, Apple was the world's most valuable tech company with a worth of $315 billion, followed by Microsoft ($243 billion), IBM ($201 billion) and Google ($198 billion).
Yahoo's market cap was $21 billion.