Yahoo’s display ad sales grew 10 percent during the quarter, but that wasn’t enough to offset a 19 percent drop in search revenue and the company’s net revenue dropped for the tenth consecutive quarter.
The company however continues to benefit from its cost-cutting efforts, which have included two rounds of layoffs since December. It reported earnings per share of 17 cents. That was down from the 22 cents it reported during the same period a year ago when it sold Zymbra but better than the 16 cents analysts had expected.
As for net revenue, it came in at $1.06 billion, down from $1.13 billion a year ago. That was in line with analysts’ expectations, and Wall Street seemed pleased overall with the results, sending Yahoo’s shares up as much as 4 percent in after-hours trading. We’ll have more details when the company conducts its earnings call at 2 p.m. PT.