The Yahoo Crisis Causes Staff Cuts

Some time ago we talked about the rumors about the sale of yahoo. Perhaps not focused on a total sale, but important enough to keep its stake in alibaba as its main business. The information provided by cnn expansión was curious to us. Since until now the possibility of selling its 15% of shares in the chinese giant valued at a figure close to 32,000 million dollars (about 29,000 million euros). Was being considered, with the objective of recovering the confidence. Of its shareholders after losses of 33% over the past year. For now, the yahoo crisis does not improve. Yahoo’s crisis affects its staff the sale of yahoo has not taken place. But the company continues to be pressured by its investors to the point that they have had to increase their policy of cuts and layoffs .

It has gone from 12,500 workers in december 2014 to about 11,000 at the end of june last year and is now considering reducing its workforce by 15% , according to the wall street journal and have already been confirmed by yahoo. Downsizing would make the business more attractive to potential buyers. In addition to laying off workers, marissa mayer and the yahoo board of Austria Phone Number List would be thinking of closing several of the company’s divisions, such as games and smart tv . For now, the yahoo crisis is already causing a reduction of business in latin america , closing its operations in argentina and mexico, although it will not leave the region completely as they want to continue investing in their local consumers and products, especially brazil and Miami.

How Bad Are Yahoo’s Results?

Yahoo’s 2014 results in spain were not good either, as it multiplied its losses by 10, which made it move its commercial activity to ireland and make a personnel adjustment. The madrid offices will be closed , as well as those in buenos aires, mexico city, milan and dubai. How bad are yahoo’s results? The quarterly results of yahoo arrive , in which we see that of the 1,270 million entered in that quarter they have only obtained a profit of 63 million dollars . For the full year, revenues reached 4,968 million dollars and recorded a net loss of 4,359 million dollars. They are exploring alternative strategies for their online business, although they are going to promote mail, the search engine and tumbir. Will the yahoo crisis end in sale or will the new decisions work?

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Shareholders continue to ask for results, they expect the main part of the company to be sold (email, news, tumblr and online advertising) as we mentioned in the rumors, given that the company’s share price continues to decline and yahoo’s situation is very delicate. On monday, yahoo’s stock closed at $29.57, an increase of 0.20%. It is clear that against competitors like google, yahoo is losing a lot and in fact it has been several years without improving its results. The valuation of the company is between 6 and 8 billion dollars without growing at any time. Marissa mayer and her staff must act immediately to find solutions and prevent yahoo from falling further and further. A change of perspective is necessary and this is what must happen.

Yahoo’s Crisis Affects Its Staff

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