YAHOO! REPORTS SECOND QUARTER 2011 RESULT

Earnings Per Share Increased 18% Year over Year
with Income from Operations Increasing 9%
SUNNYVALE, California, July 19, 2011 – Yahoo! Inc. (NASDAQ: YHOO) today
reported results for the quarter ended June 30, 2011.
Revenue excluding traffic acquisition costs (“revenue ex-TAC”) was $1,076 million for
the second quarter of 2011, a 5 percent decrease from the second quarter of 2010,
primarily due to the revenue share related to the Search Agreement with Microsoft.
Excluding this item and other special items, revenue ex-TAC for the second quarter of
2011 increased 1 percent year over year. Special items include the impact of the
divestiture of HotJobs, broadband deferred revenue amortization, and certain fee rate
reductions.
GAAP revenue was $1,229 million for the second quarter of 2011, a 23 percent
decrease from the second quarter of 2010, primarily due to the required change in
revenue presentation related to the Search Agreement and the associated revenue
share with Microsoft. Excluding the impact of these two items and the impact of the
divestiture of HotJobs, broadband deferred revenue amortization, and certain fee rate
reductions, revenue for the second quarter of 2011 decreased 9 percent compared to
the second quarter of 2010.
Income from operations increased 9 percent to $191 million in the second quarter of
2011, compared to $175 million in the second quarter of 2010.
Net earnings per diluted share increased 18 percent to $0.18 in the second quarter of
2011, compared to $0.15 in the second quarter of 2010.

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