> Why do they [Yahoo] have EPS of -$.45, a net income of -$18.6M,
> and a profit margin of -40%, then? I really don't understand this whole,
> 'we lost money, but we're profitable' thing, and I'd like to.
> Can you educate me?
Take a gander at YHOO's 10-Q and note this:
"In July 1997, the Company and Visa entered into an agreement under which the Visa Group released the Company from certain obligations and claims, and the Company returned the Visa Group's original equity contribution to Yahoo! Marketplace L.L.C. In connection with this agreement, Yahoo! issued 699,481 shares of Yahoo! Common Stock to the Visa Group, for which the Company recorded a one-time, non-cash, pre-tax charge of $21,245,000 in the second quarter ended June 30, 1997. In conjunction with the October 1997 acquisition of Four11 Corporation, the Company expects to record a one-time charge of approximately $4,000,000 in the fourth quarter of 1997 relating to expenses incurred with the transaction."
Don't know much about Yahoo, but these charges look a lot like SGI's
charges for restructuring this quarter (http://www.sgi.com/Headlines/1997/October/reorganization_release.html), ParaGraph last quarter, and Cray for the five quarters before that. If you expect SGI to be "profitable" this quarter (https://www.siliconinvestor.com/readmsg.aspx?msgid=3055091) considering the impending writeoff, I don't even want to try to understand! |
