Yahoo 2010 Annual Report Download - page 32

Item 6. Selected Financial Data
The following selected consolidated financial data should be read in conjunction with the consolidated financial
statements and notes thereto and “Management’s Discussion and Analysis of Financial Condition and Results of
Operations” appearing elsewhere in this Annual Report on Form 10-K. The consolidated statements of income
data and the consolidated balance sheets data for the years ended, and as of, December 31, 2006, 2007, 2008,
2009, and 2010 are derived from our audited consolidated financial statements.
Consolidated Statements of Income Data:
Years Ended December 31,
2006 2007 2008(1) 2009(2) 2010(3)
(In thousands, except per share amounts)
Revenue ................................. $6,425,679 $6,969,274 $7,208,502 $6,460,315 $6,324,651
Income from operations .................... $ 940,966 $ 695,413 $ 12,963 $ 386,692 $ 772,524
Net income attributable to Yahoo! Inc. ......... $ 731,568 $ 639,155 $ 418,921 $ 597,992 $1,231,663
Net income attributable to Yahoo! Inc. common
stockholders per share—basic .............. $ 0.53 $ 0.48 $ 0.31 $ 0.43 $ 0.91
Net income attributable to Yahoo! Inc. common
stockholders per share—diluted ............ $ 0.51 $ 0.47 $ 0.29 $ 0.42 $ 0.90
Shares used in per share calculation—basic ..... 1,388,741 1,338,987 1,369,476 1,397,652 1,354,118
Shares used in per share calculation—diluted . . . 1,419,248 1,366,264 1,391,230 1,415,658 1,364,612
(1) Our net income attributable to Yahoo! Inc. for the year ended December 31, 2008 included a non-cash gain of
$401 million, net of tax, related to Alibaba Group’s initial public offering (“IPO”) of Alibaba.com Limited
(“Alibaba.com”), the business to business e-commerce subsidiary of Alibaba Group, and a non-cash loss of
$30 million, net of tax, related to the impairment of our direct investment in Alibaba.com. In addition, in the
year ended December 31, 2008, we recorded a goodwill impairment charge of $488 million related to our
European reporting unit and net restructuring charges of $107 million related to our strategic workforce
realignment and cost reduction initiatives, and a tax benefit for these two items of $42 million. In the
aggregate, these items had a net negative impact of $182 million on net income attributable to Yahoo! Inc., or
$0.13 per both basic and diluted share.
(2) Our net income attributable to Yahoo! Inc. for the year ended December 31, 2009 included a pre-tax gain of
$67 million in connection with the sale of our Gmarket shares and a gain on the sale of our direct investment
in Alibaba.com of $98 million. In addition, in the year ended December 31, 2009, we recorded net
restructuring charges of $127 million related to our cost reduction initiatives. In the aggregate, these items
had a net positive impact of $18 million on net income attributable to Yahoo! Inc., or $0.01 per both basic
and diluted share.
(3) Our net income attributable to Yahoo! Inc. for the year ended December 31, 2010 included a pre-tax gain of
$66 million in connection with the sale of Zimbra, Inc. and a pre-tax gain on the sale of HotJobs of $186
million. In addition, in the year ended December 31, 2010, we recorded net restructuring charges of $58
million related to our cost reduction initiatives. In the aggregate, these items had a net positive impact of
$204 million on net income attributable to Yahoo! Inc., or $0.15 per both basic and diluted share. In addition,
in the year ended December 31, 2010, we recorded $43 million pre-tax for the reimbursement of transition
costs incurred in 2009 related to the Search Agreement. See Note 16—“Search Agreement with Microsoft
Corporation” in the Notes to the consolidated financial statements for additional information. Our income tax
provision was also reduced by the effect of certain tax benefits as discussed in Note 9—“Income Taxes” in
the Notes to the consolidated financial statements.
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