Yahoo Sees No Boost From Ad System Until Next Year |
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![]() Wed, 17 May 2006 19:26:03 -0500
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By Eric Auchard
Internet media giant Yahoo Inc. plans to introduce its revamped Web
"We don't expect a financial contribution this year," Chief Financial
"It would be premature to try and put numbers around that," Decker
Executives originally said they would release details of how and when
Decker said she was making no change to the company's prior outlook
"It would be an aspirational growth rate to double that to 25 percent
"I wouldn't take that so literally -- but faster than the industry
Industry growth is expected to slow from around 30 percent presently
In April, the company said its 2006 year revenues would range between $4.6
Tim Cadogan, vice president of Yahoo's search business, said a redesigned
International advertisers will gain access to it during the first-quarter of
However, the system's revised advertising ranking and pricing mechanisms
Yahoo began, earlier this month, to test the paid search ad system that aims
Microsoft Corp., previously a major customer of Yahoo's search advertising
Decker said Yahoo's margins have stabilized in recent years at around 40
At least half of future revenue growth will come from existing users
"More than 50 percent of our revenue growth will come from (increased)
Drivers of this growth reflect the increasing availability of
Some analysts expressed disappointment that the company did not set
But Morgan Stanley analyst Mary Meeker said the mood of Yahoo
Yahoo closed down 86 cents, or 2.78 percent, to end the day at $30.11
Copyright 2006 Reuters Limited.
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