Inc. rose 3 percent in extended trading after the Internet bellwether met Wall Street expectations for its third-quarter earnings and slightly reduced its targets for the current quarter. Chairman and chief executive Terry Semel also said Wednesday that Yahoo will streamline its 44 business units in a restructuring plan that likely will include layoffs.
Details are to be announced at the company's meeting with financial analysts next month.
I think we'll be tighter, leaner, easier to run,'' he said. Semel said in July that the slumping online advertising market was unlikely to pick up until the middle of 2002. He said Wednesday he has no reason to believe such a turnaround would happen any sooner or any later than that. This economic climate is unprecedented,'' Semel said. But most of them have been cool at best to Yahoo's new subscription-based offerings, which the company hopes can continue to reduce its reliance on advertising.