Shares of the Internet content and search company surge after its third-quarter profit tops Wall Street's consensus estimate by a dime.
NEW YORK (TheStreet) -- Shares of Yahoo!(:YHOO) rose in late trades after the company bucked the general trend for tech companies this quarter and delivered above-consensus results on both the top and bottom lines.
The stock was last quoted at $16.25, up 3%, on extended volume of 2.1 million, according to Nasdaq.com.
For the third quarter ended Sept. 30, the Sunnyvale, Calif.-based Internet content and search company reported non-GAAP earnings excluding items of $177 million, or 35 cents a share, with revenue excluding traffic acquisition costs, or TAC, come in at $1.09 billion.
The average estimate of analysts polled by Thomson Reuters was for a profit of 25 cents a share in the September-ended period on revenue of $1.08 billion.
In the same period a year earlier, Yahoo! earned $175 million, or 21 cents a share, on a non-GAAP basis on revenue excluding TAC of $1.07 billion.
"Yahoo! had a solid third quarter, and we are encouraged by the stabilization in search and display revenue," said Marissa Mayer, the company's CEO. "We're taking important steps to position Yahoo! for long-term success, and we're confident that our focus on quality and improving the user experience will drive increased value for our advertisers, partners and shareholders."
Based on Tuesday's close at $15.77, Yahoo! shares were down 2.2% in 2012.
Mayer, previously a vice president at Google(:GOOG), was named to lead Yahoo! in mid-July. On Sept. 22, Mayer named Ken Goldman as its chief financial officer. Last Monday, she tabbed fellow Google alum Henrique de Castro as chief operating officer.
--Written by Michael Baron in New York.
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