Yahoo Japan Corp. today reported that first-quarter profit surged 83 percent on gains from advertising and online sales. SUGOI!
Annual profit growth may slow to 49 percent this quarter.
Bloomberg News reports that Yahoo Japan’s group net income rose to 8.31 billion yen ($76.5 million) in the three months to June 30, from 4.54 billion yen in the same period a year earlier, according to a company statement. Sales rose 57 percent to 24.5 billion yen.
According to Bloomberg, Yahoo Japan has posted at least nine quarters of profit growth, benefiting as one in five households has connected to so- called broadband high-speed Internet-access services that allow easier online shopping.
“I’m looking at Yahoo Japan as a buying opportunity now,” said Shalash, who manages $190 million of global technology stocks at Swissca Portfolio Management in Zurich, citing the stock’s 34 percent decline since April 5. Shalash said profit growth will probably slow as competition intensifies.
Operating profit, or sales less the cost of goods sold and selling, general and administrative expenses, from advertising- related businesses doubled, while for the auction business it rose by about a quarter to 4.2 billion yen, Yahoo Japan’s Inoue said at a press conference in Tokyo.