Yahoo ($YHOO) reported its first-quarter earnings on Tuesday, revealing that it generated $1.37 billion in revenue, a 26 percent increase, and a non-GAAP earnings per share of $0.18.
Wall Street analysts had been expecting $1.23 billion in revenue with an EPS of $0.08.
Shares in the company closed the day up 0.36 percent at $47.56 and in after-hours trading continues to increase (up 0.40 percent at time of writing).
“Our Q1 performance reflects solid financial and operational execution in the new year, with more than $1.3 billion in GAAP revenue delivered. These results are the product of our teams’ tremendous focus and dedication to our users and advertisers,” said Marissa Mayer, CEO of Yahoo. “As we enter our final quarter as an independent company, we are committed to finishing strong and planning for the best possible integration with Verizon. With the transaction anticipated to complete in June, I’ve never been more proud of the improvements we’ve made to the business and the value we’ve delivered to our shareholders.”
Much of its quarterly revenue continues to come from non-Mavens services, with $742 million generated in the past three months versus $529 million for Mavens services. Mavens revenue accounted for 42 percent of total revenue, a 4 percentage point increase from a year ago. Desktop and mobile revenue also has increased, with the former going up nearly 11 percent annually to $859 million and the latter jumping 58 percent to $412 million.
The company affirmed its belief that its acquisition by Verizon will close in June 2017 — it had been delayed as of last quarter — at which point it’ll become part of the telecommunication company’s Oath umbrella brand with AOL.
Because the deal is still pending, Yahoo will not be holding a conference call with investors to discuss its earnings.