Yahoo has suffered a 6 per cent fall in revenues to $1.27bn after a continuing squeeze from rivals such as Facebook and Google saw it post a poor set of results for the fourth quarter.
The poor performance saw a corresponding dip in the amount the firm can charge advertisers, which fell a further 7 per cent and marking the fourth straight quarter in a row in which this key metric has shrunk.
Yahoo did manage to post a profit of $352m although this was entirely due to the sale of patents, masking a fall in underlying profits.
Commenting on the poor performance Marissa Meyer, Yahoo’s embattled chief exec, said: “I’m encouraged by Yahoo’s performance in Q4 and 2013 overall. We saw continued stability in the business, and our investments allowed us to bring beautiful products to our users and establish a strong foundation for revenue growth.”
The revenue slide follows the sacking of Yahoo’s chief operating officer, Henrique de Castro, last month for failing to bring on board advertisers.