Yahoo expects to post loss
Yahoo expects to post a loss for the second quarter and full year because of a one-time charge related to its recent buyout of Viaweb.
"The company anticipates that it will incur a one-time charge of approximately $45 million in the second quarter of 1998 for acquired in-process technology and expenses associated with the [Viaweb] transaction," Yahoo said in the quarterly filing. "As a result of the expense to be incurred in the second quarter of 1998, the company anticipates reporting a net loss for such quarter and for the year ending December 31, 1998."
On June 10, Yahoo completed the buyout of Viaweb, the provider of software and services for hosting online stories. The company said the deal is meant to bolster its push into e-commerce services.
Internet-based selling is expected to expand to $12.1 billion by 2000 from $2.4 billion last year, according to Forrester Research.
Like other Net directories, Yahoo has been on a buying binge, adding features to its site such as free email. The companies typically are using their high-flying stock as currency.