Yahoo reported its earnings for the third quarter of 2015 on Tuesday, falling short of Wall Street expectations.
The digital media company reported earnings per share of $0.15, which is lower than Wall Street’s expectations of $0.17 EPS. The number is also lower than the $0.52 earnings for the same quarter a year ago.
Yahoo also reported revenue of $1.23 billion, which fell short of the projected $1.26 billion.
“Our Q3 results were largely within our forecasted expectations,” Yahoo CEO Marissa Mayer said in a statement. “Our GAAP revenue grew 7 percent year-over-year and our Mavens revenue grew 43 percent. As we move into 2016, we will work to narrow our strategy, focusing on fewer products with higher quality to achieve improved growth and profitability.
“In addition to sharpening focus within core business growth, our top priority is the planned spinoff of Aabaco Holdings. This is an important moment for the Company, and we continue to strive to complete the spin as quickly as we can.”
This is the second quarter in a row that Yahoo fell short of Wall Street expectations. In Q2, the company reported $0.16 EPS, lower than the $0.18 projected.
Mobile continued to be a bright spot for Yahoo — a business unit Mayer has repeatedly cited over the last year. Yahoo earned $271 million in mobile revenue compared to $207 million during the same period last year.
The company also announced a new non-exclusive partnership with Google to run ads on search results, though the partnership won’t be implemented until after regulatory approvals. The non-exclusive agreement allows Yahoo to choose when to use Google or another advertising partner like Microsoft.
During a call with investors following the earnings release, Mayer also discussed the company’s plan to spin off its Alibaba Group holdings, acknowledging that everything may not be finalized until January of 2016.