Yahoo chief’s first day sees income drop

YAHOO reported a fall in profits last night, the day after its new chief executive was appointed.

The struggling internet giant hired Marissa Mayer – Yahoo’s third non-interim boss in a year – on Monday night as it attempts to turn around a decline in fortunes.

Revenue for the three months to June was $1.08bn (£692m), flat compared with the same period last year, while profits fell 4.4 per cent to $226.6m.

Mayer joined from Google, where she had started as its 20th employee in 1999. She is tasked with rejuvenating a company that has struggled to keep up with web giants Facebook and Google.

Her appointment follows a turbulent year for Yahoo, whose previous CEO Scott Thompson resigned in May after allegations he had embellished his CV. Previous chief Carol Bartz was fired last September having failed to change the company’s fortunes.

Mayer sat out last night’s earning call, with Yahoo’s chief financial officer Tim Morse saying she needed to acclimatise before laying out her vision for the company.

Morse said Yahoo had “moved aggressively” in recent months, agreeing an advertising deal with Facebook and launching “several new partnerships” with other firms.