Yahoo had a great quarter, but it’s mainly because of its investment in China based Alibaba:
SAN FRANCISCO (Reuters) – Yahoo Inc (YHOO.O: Quote, Profile, Research) on Tuesday posted quarterly profit, excluding one-time items, at the top end of Wall Street’s range of lowered forecasts, as it sought to bolster its case that Microsoft Corp’s (MSFT.O: Quote, Profile, Research) takeover bid undervalues it.
Buoyed by a large gain on a stake in China’s Alibaba.com Ltd (1688.HK: Quote, Profile, Research), Yahoo’s first-quarter net income rose to $142.4 million, or 10 cents per diluted share, compared with the year-ago quarter’s $542 million, or 37 cents per diluted share.
Er, wait, the Journal says this:
The popular Internet site reported net income of $542.2 million, or 37 cents a share, compared with $142.4 million, or 10 cents a share a year earlier. The latest quarter was boosted by a $401 million gain related to the IPO of Alibaba.com.