Yahoo share price rises three per cent as internet group files 2015 results

 
Caitlin Morrison
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Shares were up as the group updated investors on its plans to cut jobs (Source: Getty)

Shares in online firm Yahoo have risen by over three per cent, after the company revealed more details about plans to cut around 15 per cent of its workforce.

At the time, chief executive Marissa Mayer said the company was embarking on "a strategic plan that we strongly believe will enable us to accelerate Yahoo's transformation".

"This is a strong plan calling for bold shifts in products and in resources," she added.

The firm is exiting offices in California, Dubai, Mexico City, Buenos Aires, Madrid and Milan.

The company said it expects the job losses will result in pretax charges of $64m (£46m) to $78m, mostly in the first quarter of 2016, with $40-$48m of this total relating to severance pay expenses.

Yahoo published the details in its annual report for 2015. The group posted a $4.4bn loss last year.

Revenue climbed to $4.97bn from $4.62bn, but the company made a $4.7bn loss from operations.

The group recently announced plans to spin off its stake in Chinese e-commerce giant Alibaba, a move Mayer said would maximise shareholder value for Yahoo investors.

Yahoo is also shutting down seven of its digital magazines in an effort to simplify the business.

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