SAN FRANCISCO (Reuters) - Yahoo Inc YHOO.O Chief Executive Jerry Yang said on Tuesday that 2008 will begin with targeted job cuts and will require heavy investments to get ahead in new advertising and mobile markets.
Speaking to investors on a conference call following its fourth-quarter earnings report, Yang said the company was seeing early signs of success from various reform initiatives since new management took charge last year.
“We are seeing early signs of success as a result of this clear new focus, with core business areas growing faster in the second half of 2007 than the first half,” Yang said.
“Looking to 2008, we are taking an aggressive investment posture, prioritizing and allocating resources towards our key growth drivers,” he said.
Yang said the company expects to see a reacceleration of growth in advertising sales — which generates the bulk of Yahoo revenues — as the company exits 2008.
Reporting by Eric Auchard; Editing by Jeffrey Benkoe