financial analysis of yahoo inc

8/17/2019 Financial Analysis of Yahoo Inc

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Navya [email protected]

FINANCIAL ANALYSIS OF

YAHOO! INC. FISCAL YEAR

2014

ALANCE SHEE" INCO#E SAE#EN AN$ CASH FLO% SAE#EN

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In&r'd

uc&('n

F'unded (n 1))4 by &*' S&an+'rd ,-$ cand(da&e" /erry C-(-Yuan Yan and $av(d

F('" Ya-''! Inc. -a r'*n (n&' a c'm3any &-a& -e3 y'u nd *-a& y'u5re ''6(n

+'r 'n any In&erne&c'nnec&ed dev(ce. Ya-'' ( a u(de +'cued 'n (n+'rm(n"

c'nnec&(n and en&er&a(n(n (& uer. y crea&(n -(-y 3er'na(7ed e83er(ence

+'r (& uer" Ya-''! 6ee3 3e'3e c'nnec&ed &' *-a& ma&&er m'& &' &-em" acr'

dev(ce and ar'und &-e *'rd. In &urn" Ya-'' a' crea&e vaue +'r adver&(er by

c'nnec&(n &-em *(&- &-e aud(ence &-a& bu(d &-e(r bu(nee. Ya-'' (

-ead9uar&ered (n Sunnyvae" Ca(+'rn(a" and -a ':ce 'ca&ed &-r'u-'u& &-e

Amer(ca" A(a ,ac(c ;A,AC< and &-e Eur'3e" #(dde Ea& and A+r(ca ;E#EA<

re('n.

-e c'm3any 3r'v(de a var(e&y '+ 3r'duc& and erv(ce. -e c'm3any5 '=er(n

&' uer (ncude> Ya-''! Searc-" Ya-''! Ne*" Ya-''! S3'r&" Ya-''! F(nance"

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Ya-''! En&er&a(nmen& and L(+e&ye" Ya-''! 'm!" #'v(e" ? and #u(c" Ya-''

S-(ne!" Ya-''! ?(de' and Ya-''! ''bar.

Ya-''! a' 3r'v(de c'mmun(ca&('n &'' (ncud(n Ya-''! #a(" Ya-''! #eener"

Ya-''! r'u3" Ya-''! An*er" F(c6r" #'b(e Emer(n ,r'duc&" In&'N'* +r'm

Ya-''! and C'nnec&ed ?" *-(c- 3r'v(de a *(de rane '+ c'mmun(ca&('n and

'c(a erv(ce &' uer and ma bu(nee acr' a var(e&y '+ dev(ce.

O+ a&e" &-e c'm3anyB nanc(a 3er+'rmance -a been under canner a &-e

c'm3anyB 3r(mary 'urce '+ revenue Adver&((n -a &a6en a bea&(n +r'm

c'm3e&(&'r (6e ''e and Faceb''6. -'u- &-e c'm3anyB -are 3r(ce -a

been (ncrea(n (n &-e a& +e* m'n&-" &-e ame can be a&&r(bu&ed 3r(mar(y &' &-e

c'm3anyB &a6e (n A(baba.c'm" &-e C-(nee ec'mmerce 3'r&a and Ya-'' /a3an.

Ya-'' -a been er('uy c'n&em3a&(n ac&('n (6e 3(nn(n '= (& c're '3era&('n

and 3(n '= '+ A(baba.c'm &a6e.

-e C'm3any +ace (n(can& c'm3e&(&('n +r'm 'n(ne earc- en(ne" (&e

'=er(n (n&era&ed (n&erne& 3r'duc& and erv(ce" 'c(a med(a and ne&*'r6(n

(&e" ec'mmerce (&e" and br'adca& and 3r(n& med(a. -e C'm3any a'

c'm3e&e *(&- adver&((n ne&*'r6" e8c-ane" demand (de 3a&+'rm and '&-er

3a&+'rm" uc- a ''e AdSene" $'ubeC(c6 Ad E8c-ane" AOLB Ad.c'm and

#(cr''+& #ed(a Ne&*'r6" a *e a &rad(&('na med(a c'm3an(e +'r a -are '+

adver&(erB mar6e&(n bude& and (n &-e deve'3men& '+ &-e &'' and y&em

+'r mana(n and '3&(m(7(n adver&((n cam3a(n. I& c'm3e&(&'r (ncude

''e" Faceb''6" #(cr''+&" and AOL.


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F'r &-e 3ur3'e '+ &-( anay(" *e *( be c'm3ar(n &-e nanc(a &a&emen& '+

Ya-''! Inc. *(&- &-a& '+ ''e Inc. ''e -a been &-e 3r(mary c'm3e&(&'r '+ &-e

Ya-'' (n d(=eren& area. Ya-''B c're (n&erne& bu(ne -a n'& been abe &'

c'm3e&e *(&- ''e and Faceb''6 (n 3(&e '+ var('u 3r'duc& (nn'va&('n and

ac9u((&('n.

About Google, Inc. (Alphabet, Inc.)

A3-abe&" Inc. ( a ne*y +'unded -'d(n c'm3any +'r &-e ''e r'u3 '+

bu(nee. Dnder &-e ne* '3era&(n &ruc&ure" (& ma(n ''e bu(ne *(

(ncude earc-" ad" ma3" a33" Y'uube and Andr'(d and &-e rea&ed &ec-n(ca

(n+ra&ruc&ure. u(nee uc- a Ca(c'" Ne&" and F(ber" a *e a (& (nve&(n

arm" uc- a ''e ?en&ure and ''e Ca3(&a" and (ncuba&'r 3r'ec&" uc- a

''e " *( be manaed e3ara&ey +r'm &-e ''e bu(ne.

-e 3reen& re3'r& *( be anay7ed (n +'ur 3ar&>

• C'm3ara&(ve Inc'me S&a&emen& Anay(

• C'm3ara&(ve aance S-ee& Anay(• C'm3ara&(ve Ca- F'* Anay( and

• Ra&(' Anay(

C'm3ara&(ve Anay( '+ I nc'me S &a&emen&

The income statement provides the results of the operations of a business. Important components of

income statement are net sales, cost of goods sold, selling expenses, office expenses etc. The

components are matched with their corresponding figures of previous years individually and changes are

noted. The comparative income statement gives an idea of the progress of a business over a period of

time.

The analysis and interpretation of income statement will involve the following:

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• The increase or decrease in sales should be compared with the increase or decrease in cost of

goods sold.

• To study the operating profits.

• The increase or decrease in net profit is calculated that will give an idea about the overall

profitability of the concern.

Comparative Income Statements of Yahoo! Inc.

All values USD Millions. Increase/Decrease% 2014 2013

Fiscal year is January-December.

Sales/Revenue -1.64% 4,6! 4,6"#

$os o& 'oo(s Sol( )$*'S+ incl. DA -#."% 1,6! 1,4

'ross ncome -1.46% ,#4 ,#""

S'A 02ense 11.!#% ,#1 #,3

Unusual 02ense 6#.% 1#" 3

on-*2erain5 ncome/02ense 11!#6.63% 1,464

on-*2erain5 neres ncome -!!.13% #6 !"

neres 02ense #."6% 6 14

rea ncome 1!6.66% 1,!1# 6

ncome 7a #!.##% 4," 1!

08uiy in A&&iliaes 13.!% 1,!" "3

$onsoli(ae( e ncome 446.% 3,!# 1,33

Minoriy neres 02ense .% 1 1

e ncome 4!.66% 3,!## 1,66

0S )9asic+ 41.#3% 3.4! 1.#6

9asic S:ares *usan(in5 -6.13% "" 1,!

0S )Dilue(+ 41.#3% 3.4! 1.#6

Dilue( S:ares *usan(in5 -6.#6% 1,4 1,31

097DA -1.31% "#! 1,#"

Analysis -e Revenue and r' Inc'me '+ &-e c'm3any -ave rema(ned m're 'r

e &-e ame (n 2014 c'm3ared &' 201. -e C'm3anyB n'n'3era&(n (nc'me

(ncreaed dra&(cay (n &-e year end(n $ecember 2014. -e ne& (nc'me '+ &-e

c'm3any re(&ered an (ncreae '+ 4G0 (n 2014. -e ne& (nc'me a&&r(bu&abe &'

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Ya-''! Inc. +'r &-e year ended $ecember 1" 2014 (ncuded a 3re&a8 a(n '+

a33r'8(ma&ey 10. b(('n and an a+&er&a8 a(n '+ J. b(('n rea&ed &' (& ae '+

Amer(can $e3'(&ary S-are '+ A(baba r'u3 (n A(baba r'u3B (n(&(a 3ub(c

'=er(n (n Se3&ember 2014.

In add(&('n" (n &-e year ended $ecember 1" 2014" &-e c'm3any rec'rded a(n '+

a33r'8(ma&ey )K m(('n rea&ed &' ae '+ 3a&en&" a a(n 'n &-e H'r&'n*'r6

*arran& '+ )K m(('n" a ''d*( (m3a(rmen& c-are '+ KK m(('n" and ne&

re&ruc&ur(n c-are '+ 10 m(('n rea&ed &' (& c'& reduc&('n (n(&(a&(ve. -e

&a8 (m3ac& '+ &-e (&em re+erred &' ab've *a .) b(('n" and (n &-e area&e"

&-ee (&em -ad a ne& 3'(&(ve (m3ac& '+ J.0 b(('n 'n ne& (nc'me a&&r(bu&abe &'

Ya-''! Inc." +'r &-e year ended $ecember 1" 2014.

C'm3ara&(ve aance S -ee& A nay(

The comparative balance sheet shows the different assets and liabilities of the firm on different

dates to make comparison of balances from one date to another. A comparative balance sheet is expected

to study the following aspects:

i For studying the current financial position or liuidity position of a concern one should examine the

working capital in both the years. !orking capital is the excess of current assets over current

liabilities.

iiFor studying the long"term financial position of the concern, one should examine the changes in fixed

assets, long"term liabilities and capital.

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iii The next aspect to be studied in a comparative balance sheet is the profitability of the concern. The

study of increase or decrease in profit will help the interpreter to observe whether the profitability

has improved or not.

A+&er &udy(n var('u ae& and (ab((&(e" an '3(n('n -'ud be +'rmed ab'u& &-e

nanc(a 3'(&('n '+ &-e c'ncern.

Comparative alance Sheets of Yahoo!, Inc.

Assets All values USD Millions. Increase/Decrease% 2014 2013

Fiscal ;ear is January-December

$as: S:or 7erm nvesmens 1".#% ",11" ,4"

7oal Accouns Receivable .3% 1,116 1,13

*:er $urren Asses -##.6% 46! 61

7oal $urren Asses #."% ,6 !,#6

e ro2ery, lan 08ui2men -.3% 1,4"" 1,4"

7oal nvesmens an( A(vances 31.3!% 44,! !,41

nan5ible Asses 1.!4% !,64 !,3

*:er Asses #4.% 16 1#

7oal Asses #6".3% 61,6 16,"!

Liabilities & Shareholders' Equit

All values USD Millions. 2014 2013

Accouns ayable 3#.46% #" 1"

ncome 7a ayable - ,#!

*:er $urren


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rovision &or Ris=s $:ar5es 6!.% 1,1# 63!

De&erre( 7aes 134.66% 16,166 14

*:er 08uiy 16.1% ",34# 1,3!

Accumulae( Minoriy neres -#1.4% 44 !6

7oal 08uiy 1!."% ",3"6 1,11

08uiy #6".3% 61,6 16,"!

Anay(>

Fr'm &-e anay( '+ baance -ee& '+ Ya-''!" (& can be 'berved &-a& ae& '+ &-e

c'm3any -ave (ncreaed (n(can&y (n 2014 c'm3ared &' 201. '&a Ae&

(ncreaed by 2JK 3r(mar(y due &' &-e (ncreae (n ca- -'r& &erm (nve&men&"

'n &erm (nve&men& and advance. -e 8ed ae& '+ &-e c'm3any rema(ned

m're 'r e &-e ame.

-e curren& (ab((&(e '+ &-e c'm3any -ave (ncreaed (n(can&y (n &-e year

end(n $ecember 2014 ma(ny c'n&r(bu&ed &' &-e 3r'v(('n +'r Inc'me a8

3ayabe. -e 'n &erm (ab((&(e '+ &-e c'm3any -ave a' (ncreaed (n(can&y

due &' &-e de+erred &a8e. -e c'm3any5 'n &erm deb& -a rema(ned &-e ame

(n 2014 *-(e &-e -are-'der e9u(&y (ncreaed by 1)J.

$ur(n &-e year ended $ecember 1" 2014" &-e c'm3any rece(ved ne& 3r'ceed '+

).4 b(('n +r'm &-e ae '+ A(baba r'u3 A$S (n A(baba r'u3B I,O. A a reu&

'+ &-e I,O" &-e c'm3any n' 'ner acc'un& +'r A(baba r'u3 u(n &-e e9u(&y

me&-'d '+ acc'un&(n" and reMec& (& rema(n(n (nve&men& a an e9u(&y ecur(&y

K


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ra&-er &-an (n (nve&men& (n e9u(&y (n&ere&. -( -a c'n&r(bu&ed &' &-e

(n(can& (ncreae (n &'&a (nve&men& and advance '+ &-e c'm3any.

C'm3ara&(ve Anay( '+ Ca- F'* S&a&emen&

A ca- M'* &a&emen& ( a nanc(a &a&emen& &-a& -'* -'* c-ane (n baance

-ee& acc'un& and (nc'me &a&emen& a=ec& ca- and ca- e9u(vaen&" and

brea6 &-e anay( d'*n &' '3era&(n" (nve&(n" and nanc(n ac&(v(&(e.

Een&(ay" &-e ca- M'* &a&emen& ( c'ncerned *(&- &-e M'* '+ ca- (n and 'u&

'+ &-e bu(ne.

-e &a&emen& ca3&ure b'&- &-e curren& '3era&(n reu& and &-e acc'm3any(n

c-ane (n &-e baance -ee&. A an anay&(ca &''" &-e &a&emen& '+ ca- M'* (

ue+u (n de&erm(n(n &-e -'r&&erm v(ab((&y '+ a c'm3any" 3ar&(cuary (& ab((&y

&' 3ay b(.

Ca- M'* anay( can be d'ne by de&erm(n(n &-e &-ree &y3e '+ ac&(v(&(e.

1. $e&erm(n(n ca- M'* +r'm '3era&(n ac&(v(&(e

2. $e&erm(n(n ca- M'* +r'm (nve&(n ac&(v(&(e

. $e&erm(n(n ca- M'* +r'm nanc(n ac&(v(&(e

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Comparative Cash "lo# Statements of Yahoo! Inc.

!"eratin# Acti$ities Increase/Decrease %

All values USD Millions. Fiscal year is January-December. 2014 2013e ncome be&ore 0ra or(inaries 446.% 3,!# 1,33

De2reciaion, De2leion Amori?aion -.!% 63 6#

De&erre( 7aes nvesmen 7a $re(i -6!4.36% 466 -"4

*:er Fun(s 1"#.3% -1," -!#

Fun(s &rom *2eraions -#6.66% -#,#"" 1,"

$:an5es in @or=in5 $a2ial -166".3% ,1"! -#

e *2erain5 $as: Flo -#4.4% "3 1,1!

In$estin# Acti$ities

All values USD Millions. .!% 2014 2013

$a2ial 02en(iures .3% -3! -41

e Asses &rom Ac8uisiions -1.13% -"! -1,#4"

Sale o& Fie( Asses 9usinesses - - -

urc:ase/Sale o& nvesmens -46.41% -4,34 1,1"

*:er Uses -".% -! -#!

*:er Sources -11.% 4! #

e nvesin5 $as: Flo -164!6.!#% ,36# -#

inancin# Acti$ities

All values USD Millions. .!% 2014 2013$as: Divi(en(s ai( B 7oal .%

$:an5e in $a2ial Soc= 4.!1% -,"!! -#,"66

ssuance/Re(ucion o& Deb, e .%

*:er Fun(s -114.""% -163 1,1##

e Financin5 $as: Flo 1.6#% -4,## -1,344

0c:an5e Rae 0&&ec 1!!.!6% -46 -1"

Miscellaneous Fun(s .%

e $:an5e in $as: -#.% ! -!

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Free $as: Flo -".34% !#! "!3

Anay(>

-e C'm3anyB '3era&(n ac&(v(&(e +'r 201 and 2014 -ave enera&ed ade9ua&e

ca- &' mee& (& '3era&(n need. F'r &-e year ended $ecember 1" 2014"

'3era&(n ac&(v(&(e 3r'v(ded K) m(('n (n ca-. Ne& (nc'me '+ &-e c'm3any +'r

&-e year ended $ecember 1" 2014 *a .G b(('n" *-(c- *a adu&ed +'r &-e

+''*(n (ncreae rea&ed &' n'nca- (&em> de3rec(a&('n" am'r&(7a&('n '+

(n&an(be and accre&('n '+ N'&e d(c'un& '+ JJJ m(('n" &'c6baed

c'm3ena&('n e83ene '+ 420 m(('n" &a8 bene& +r'm &'c6baed a*ard '+

14J m(('n" de+erred (nc'me &a8 e83ene '+ 4JJ m(('n" ''d*( (m3a(rmen&

c-are '+ KK m(('n and 'e +r'm ae '+ (nve&men&" ae& and '&-er '+ G

m(('n" '=e& by &-e a(n 'n ae '+ A(baba r'u3 A$S '+ 10. b(('n and '&-er

reduc&('n +'r n'nca- (&em (ncud(n> earn(n (n e9u(&y (n&ere& '+ 1.1 b(('n"

e8ce &a8 bene& +r'm &'c6baed a*ard '+ 1G0 m(('n" a(n 'n ae '+

3a&en& '+ )K m(('n" a(n 'n H'r&'n*'r6 *arran& '+ )K m(('n" and

re&ruc&ur(n revera '+ m(('n. Add(&('nay" &-e c'm3any rece(ved d(v(dend

'+ K4 m(('n +r'm Ya-'' /a3an and *'r6(n ca3(&a 'urce '+ ca- '+ .G b(('n"

*-(c- *ere 3ar&(ay '=e& by *'r6(n ca3(&a ue '+ ca- '+ 24 m(('n.

On Se3&ember 24" 2014" A(baba r'u3 c'ed (& I,O. Ya-''! ca- 3r'ceed '+

).4 b(('n ;ne& '+ under*r(&(n d(c'un&" c'mm(('n" and +ee '+ a33r'8(ma&ey

11G m(('n< +r'm YHB ae '+ 140 m(('n A(baba r'u3 A$S.

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A '+ February 2J" 201G" &-e c'm3any 3a(d re&urn &' (& &'c6-'der a& ea& -a+

'+ &-e a+&er&a8 3r'ceed ;a33r'8(ma&ey .1 b(('n< rece(ved +r'm YHB ae '+

&-e A(baba r'u3 A$S (n &-e I,O.

A '+ $ecember 1" 2014" &-e c'm3any -ad ca-" ca- e9u(vaen&" and

mar6e&abe ecur(&(e ;e8cud(n A(baba r'u3 and H'r&'n*'r6 e9u(&y ecur(&(e<

&'&a(n 10.2 b(('n c'm3ared &' G.0 b(('n a& $ecember 1" 201. -e (ncreae

*a due &' &-e ne& ca- 3r'ceed '+ ).4 b(('n rece(ved +r'm &-e ae '+ 140

m(('n A(baba r'u3 A$S (n &-e I,O. -( *a 3ar&(ay '=e& by &-e re3urc-ae

'+ a33r'8(ma&ey 102 m(('n -are '+ (& 'u&&and(n c'mm'n &'c6 +'r

a33r'8(ma&ey 4.2 b(('n and KG) m(('n ued +'r ac9u((&('n.

$ur(n &-e year ended $ecember 1" 2014" &-e .K b(('n 3r'v(ded by (nve&(n

ac&(v(&(e *a due &' ).4 b(('n (n ca- 3r'ceed +r'm &-e ae '+ A(baba r'u3

A$S" ne& '+ under*r(&(n d(c'un&" +ee and c'mm(('n" 3r'ceed +r'm ae

and ma&ur(&(e '+ mar6e&abe ecur(&(e '+ .2 b(('n" 2G4 m(('n (n 3r'ceed

rece(ved +r'm e&&emen& '+ der(va&(ve -ede c'n&rac&" and KJ m(('n (n

3r'ceed +r'm ae '+ 3a&en&" 3ar&(ay '=e& by .) b(('n (n 3urc-ae '+

mar6e&abe ecur(&(e" 2 m(('n ued +'r ca3(&a e83end(&ure" KG) m(('n

ued +'r ac9u((&('n" and 4 m(('n ued +'r add(&('na e9u(&y (nve&men&.

$ur(n &-e year ended $ecember 1" 2014" &-e 4 b(('n ued (n nanc(n

ac&(v(&(e *a due &' 4.2 b(('n ued +'r &-e re3urc-ae '+ -are '+ (& c'mm'n

&'c6 a& an averae 3r(ce '+ 40.)4 3er -are" 22 m(('n ued +'r d(&r(bu&('n &'

n'nc'n&r'(n (n&ere&" and 2)G m(('n ued +'r &a8 *(&--'d(n 3aymen&

rea&ed &' ne& -are e&&emen& '+ re&r(c&ed &'c6 un(& and '&-er nanc(n

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ac&(v(&(e. -( ue '+ ca- *a 3ar&(ay '=e& by 0K m(('n (n ca- 3r'ceed

rece(ved +r'm em3'yee &'c6 '3&('n e8erc(e and em3'yee &'c6 3urc-ae

made &-r'u- (& em3'yee &'c6 3urc-ae 3an" and an e8ce &a8 bene& +r'm

&'c6baed a*ard '+ 1G0 m(('n.

Ra&(' Anay(

Ra&(' Anay( ( 'ne '+ &-e (m3'r&an& &ec-n(9ue *-(c- are ued &' meaure &-e

e&ab(-men& '+ rea&('n-(3 be&*een &-e &*' (n&errea&ed acc'un&(n ure (n

nanc(a &a&emen&. -( anay( -e3 &' #anaemen& +'r dec(('n ma6(n. Ra&('

Anay( ( an e=ec&(ve &'' *-(c- ( ued &' acer&a(n &-e (9u(d(&y and '3era&('na

e:c(ency '+ &-e c'ncern.

#a(n ,ur3'e '+ Ra&(' Anay( ( (n acer&a(n(n &-e nanc(a 3er+'rmance '+ a

c'ncern.

a $i%ui&ity 'atio +ac((&a&e &' (den&(+y *-e&-er &-e c'm3any -a en'u-

ca3ab((&y &' mee& -'r& &erm 'b(a&('nre9u(remen&.

b rotability 'atios (6e r' ,r'& Ra&('" Ne& ,r'& Ra&(' and O3era&(n

Ra&(' (ve a 3(c&ure '+ 3r'&ab((&y 3'(&('n '+ &-e c'ncern.

c $ong term solvency an& the leverage ratios uc- a $eb&E9u(&y

Ra&(' and In&ere& C'verae Ra&(' c'nvey a rmB ab((&y &' mee& &-e (n&ere&

c'& re3aymen& c-edue '+ (& 'n&erm 'b(a&('n and -'* &-e

3r'3'r&('n '+ deb& and e9u(&y (n nanc(n '+ &-e rm.

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d Activity 'atios uc- a Inven&'ry urn'ver Ra&('" $eb&'r urn'ver Ra&('"

and %'r6(n Ca3(&a urn'ver Ra&(' meaure &-e e:c(ency *(&- *-(c- &-e

re'urce '+ a rm -ave been em3'yed.

L(9u(d(&y Ra&('

Liquidit (atios )ahoo *oo#le

$urren Raio #.14 4."

Cuic= Raio #.14 4."

$as: Raio 1.3 ."

-e curren& ra&(' (ve a ene '+ &-e e:c(ency '+ a c'm3any5 '3era&(n cyce 'r

(& ab((&y &' &urn (& 3r'duc& (n&' ca-. A &-e &-ree (9u(d(&y ra&(' '+ Ya-''! Inc.

are '*er &-an &-e ra&(' '+ (& c'e& c'm3e&(&'r ''e" Inc. even &-'u- &-e

&anda'ne ra&(' eem &' be 3re&&y ''d.

,r'&ab((&y Ra&('

+ro,itabilit (atios )ahoo *oo#le

'ross Mar5in 3.6 61.!!

*2erain5 Mar5in 4.3! #!.3e Mar5in 16.4 #1.16

Reurn on Asses 1.1 11.!1

Reurn on 08uiy #. 14.!#

Reurn on 7oal $a2ial #3.36 1.33

14


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-e r' mar(n '+ Ya-''! Inc are rea&(vey be&&er &-an &-a& '+ ''e" bu&

O3era&(n #ar(n ( very '*. -( (m3(e &-a& Ya-''! Inc ( 3end(n m're 'n

'3era&(n e83ene and need &' 6ee3 a c-ec6 'n &-(. Ne& #ar(n '+ Ya-'' (

aa(n very ''d" bu& &-( can be a&&r(bu&ed &' e8&ra 'rd(nary (&em (6e ae '+

&a6e (n A(baba and '&-er &ranac&('n.

-e ra&(' (6e Re&urn 'n Ae&" Re&urn 'n E9u(&y and Re&urn 'n '&a Ca3(&a '+

Ya-'' are aa(n be&&er &-an &-a& '+ ''e" bu& aa(n &-ee can be due &' &-e e8&ra

'rd(nary 'ne &(me 3r'& &-r'u- &-e ae '+ &a6e.

L(9u(d(&y Ra&('

-a"ital Structure (atios )ahoo *oo#le

7oal Deb o 7oal 08uiy .14 !.1

7oal Deb o 7oal Asses 1.6 .

neres $overa5e Raio .1" 1!.4"

Ya-'' -a be&&er $eb& &' E9u(&y and $eb& &' '&a Ae& ra&(' c'm3ared &'

''e" *-(c- mean &-e c'm3any ( -av(n '*er deb& 3'r&('n. u&" &-e (n&ere&

c'verae ra&(' '+ ''e +ar 'u&&and &-a& '+ Ya-'' *-(c- (m3(e &-a& ''e -a

m're &-an u:c(en& earn(n &' c'ver (& deb& even &-'u- -av(n a -(-er deb&

ra&(' &-an Ya-''.

.urno$er (atios )ahoo *oo#le

Receivables 7urnover 4.# 6.#

7oal Asses 7urnover .1# .!4

1G


16/28


urn'ver meaure a rm5 e:c(ency a& u(n (& ae&rece(vabe (n enera&(n

ae 'r revenue &-e -(-er &-e number &-e be&&er. ''e -a be&&er rece(vabe

&urn'ver and &'&a ae& &urn'ver &-an Ya-''.

?aua&('n Ra&('

aluation (atios )ahoo *oo#le

/0 Raio 1.64 !.#

rice o Sales 11.1 !.!4

rice o 9oo= alue 1.## .4!

7oal Deb o 0ner2rise alue . .#

-e ,E ra&(' and ,r(ce &' Sae Ra&(' '+ Ya-'' ( very -(- c'm3ared &' &-a& '+

''e" *-(c- mean Ya-'' ( 'vervaued (n &erm '+ -are 3r(ce. u&" &-e ,r(ce &'

''6 ?aue '+ Ya-'' ( muc- '*er &-an ''e. -( (m3(e &-a& ''e ( *e

3aced (n &erm '+ Sae and Earn(n *-(e Ya-'' ( *e 3aced (n &erm '+ Ae&.

'&a $eb& &' En&er3r(e ?aue '+ Ya-'' ( mar(nay -(-er &-an &-a& '+ ''e.

,er S-are $a&a

+er Share Data )ahoo *oo#le

0arnin5s er S:are 3.4! 1.!

7an5ible 9oo= alue !.4 1#.

@or=in5 $a2ial !.!# .#

$a2ial 02en(iure .3 1!.!

Sales 4.! !."1

*2erain5 ro&i .## #4.1


17/28


Ya-''! Inc. -a been 'ne '+ &-e eary 3ayer (n &-e (n&erne& mar6e&. -e c'm3any

-a been &-e r& and &-e be& (n many '+ &-e erv(ce (& '=ered. u& '+ a&e" &-e

c'm3any -a n'& been abe &' u&a(n &-e &'u- c'm3e&(&('n +r'm c'm3an(e (6e

''e" Faceb''6 and #(cr''+&. In &erm '+ F(nanc(a ,er+'rmance" &-e c'm3any

-a been (v(n med('cre reu&. u&" &( &-e c'm3anyB -are 3r(ce -a been

7''m(n 'ver &-e 3a& +e* year becaue '+ &-e &ra&e(c (nve&men& &-e

c'm3any -a been ma6(n (n c'm3an(e (6e A(baba.c'm. -e c'm3any ( ca- r(c- and ( ac&(vey ee6(n ac9u((&('n *-(c- can add vaue

&' (& 3r'duc&. -e c'm3any -'ud a' +'cu 'n ne* 3r'duc& deve'3men& and

are(ve mar6e&(n &' e& a &r'n -'d 'n &-e r'*&- 'r(en&ed &ec-n''y

ec&'r. -e c'm3any -a a -ue e83er(ence and nanc(a re'urce &' ac-(eve &-e

ame. -e &anda'ne nanc(a &a&emen& '+ Ya-'' ''6 ''d" bu& *-en

c'm3ared &' ''e" Ya-'' ( ceary an under3er+'rmer.O+ a&e" Ya-'' -a been (n &-e ne* *(&- rum'r 3read(n 'n &-e d(ve&(&ure '+ &-e

c'm3anyB c're bu(ne and 3r(va&e e9u(&y rm ey(n &-e c'm3any +'r a

3'&en&(a buy'u&. In (-& '+ &-ee deve'3men&" 'ny ac&(ve &rader are adv(ed &'

6ee3 (nve&ed (n &-e c'm3any a &-e -are 3r(ce may be ubec& &' -ue

Muc&ua&('n baed 'n &-e deve'3men& (n &-e c'm3any. L'n &erm (nve&'r can

*a(& +'r 'me m're &(me &' e& a cear 3(c&ure 'n &-e +u&ure '+ &-e c'm3any.

R e+erence>-&&3>(n+'.ya-''.c'mab'u&u-&&3>(nve&'r.ya-''.ne&

-&&3>(n+'.ya-''.c'm3recen&erar&(ceya-''(n&r'duceya-''meenerm'b(e

14000010K.-&m

1

https://info.yahoo.com/about-ushttps://investor.yahoo.net/https://info.yahoo.com/press-center/article/yahoo-introduces-yahoo-messenger-mobile-140000108.htmlhttps://info.yahoo.com/press-center/article/yahoo-introduces-yahoo-messenger-mobile-140000108.htmlhttps://investor.yahoo.net/https://info.yahoo.com/press-center/article/yahoo-introduces-yahoo-messenger-mobile-140000108.htmlhttps://info.yahoo.com/press-center/article/yahoo-introduces-yahoo-messenger-mobile-140000108.htmlhttps://info.yahoo.com/about-us


18/28


-&&3>9u'&e.*.c'mYHOOnanc(a-&&3>9u'&e.*.c'mOOLnanc(a-&&3>9u'&e.*.c'mYHOOnanc(aannuabaance-ee&-&&3>9u'&e.*.c'mYHOOnanc(aannua(nc'me&a&emen&-&&3>9u'&e.*.c'mYHOOnanc(aannuaca-M'*-&&3>9u'&e.*.c'mOOLnanc(aannuabaance-ee&

-&&3>9u'&e.*.c'mOOLnanc(aannua(nc'me&a&emen&-&&3>9u'&e.*.c'mOOLnanc(aannuaca-M'*

1K

http://quotes.wsj.com/YHOO/financialshttp://quotes.wsj.com/GOOGL/financialshttp://quotes.wsj.com/YHOO/financials/annual/balance-sheethttp://quotes.wsj.com/YHOO/financials/annual/income-statementhttp://quotes.wsj.com/YHOO/financials/annual/cash-flowhttp://quotes.wsj.com/GOOGL/financials/annual/balance-sheethttp://quotes.wsj.com/GOOGL/financials/annual/income-statementhttp://quotes.wsj.com/GOOGL/financials/annual/cash-flowhttp://quotes.wsj.com/YHOO/financialshttp://quotes.wsj.com/GOOGL/financialshttp://quotes.wsj.com/YHOO/financials/annual/balance-sheethttp://quotes.wsj.com/YHOO/financials/annual/income-statementhttp://quotes.wsj.com/YHOO/financials/annual/cash-flowhttp://quotes.wsj.com/GOOGL/financials/annual/balance-sheethttp://quotes.wsj.com/GOOGL/financials/annual/income-statementhttp://quotes.wsj.com/GOOGL/financials/annual/cash-flow


19/28


Ya-''! Inc. aance S-ee& P Ae&

Ya-''! Inc. aance S-ee& P L(ab((&(e And E9u(&y

1)


20/28


Ya-''! Inc. Inc'me S&a&emen&

20


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Ya-''! Inc. P O3era&(n and Inve&(n Ac&(v(&(e

21


22/28


Ya-''! Inc. Ca- F'* S&a&emen& P F(nanc(n Ac&(v(&(e

22


23/28


''e Inc. aance S-ee& P Ae&

2


24/28


''e Inc. P L(ab((&(e And E9u(&y

24


25/28


''e Inc. Inc'me S&a&emen&

2G


26/28


''e Inc. Ca- F'* S&a&emen& P O3era&(n and Inve&(n Ac&(v(&(e

2J


27/28


''e Inc. Ca- F'* S&a&emen& P F(nanc(n Ac&(v(&(e

2


28/28


financial analysis of yahoo inc

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