Yahoo Inc expects a sharp decline in both its revenue and earnings this year compared with 2015, with revenue seen falling nearly 15 percent and earnings over 20 percent, Re/code reported on Wednesday, citing a Yahoo document.
The financial situation at the Internet company is becoming “increasingly dire,” Re/code said, citing pages from the “book” of disclosure documents that Yahoo bankers have given out to prospective buyers.
A Yahoo spokesperson declined comment on the report.
Yahoo also expects its employee count to fall to about 9,000 at the end of 2016, from 10,500 in 2015, but stock-based compensation remains steady, the technology news website said.
The company expects 2016 revenue, backing out traffic acquisition costs, of $3.5 billion (roughly Rs. 4,88,761 crores) in 2016 and earnings before depreciation, taxes and amortization of $750 million (roughly Rs. 4,987 crores), Re/code said.