Yandex, Russia’s biggest search company, has posted Q2 earnings, with revenues up 50% over the same quarter in the previous year to $207.2 million, and net income up 76% to $68.4 million.
And as impressive as the numbers sound, the results were just shy of analyst expectations: on average analysts expected revenues of $207.70 million, according to Yahoo Finance, while Bloomberg is reporting differently.
Better news comes in the company’s share of the Russian search market: 60.4% in Q2 2012, says Yandex, citing LiveInternet. As we’ve previously noted, search share has been a concern with heavy competition from Google and others. This appears to be up from the previous quarter (59%), although not back to the high 60s it was at last year.
Search queries are also up, growing 30% from Q2 2011, while the company has increased the number of advertisers to more than 193,000, up 34% from Q2 2011 and up 8% from Q1 2012.
Breaking down the numbers further, Yandex says:
Text-based advertising revenues accounted for 89% of total revenues in Q2 2012 i.e. it was the main driver. Specifically, text-based advertising revenues from Yandex’s own websites accounted for 72% of total revenues during Q2 2012, and increased by 43% compared with Q2 2011. Meanwhile, text-based advertising revenues from the company’s ad network increased 93% compared with Q2 2011 and contributed 17% of total revenues during Q2 2012.
Paid clicks on Yandex’s and its partners’ websites, in aggregate, increased 62% in Q2 2012 compared with Q2 2011. Interestingly, average cost per click is 7% lower compared with Q2 2011, but up 18% compared with Q1 2012. Display advertising revenue, on the other hand, accounted for 9% of total revenues during Q2 2012, an increase 43% compared with Q2 2011.
Finally, online payment commissions accounted for 2% of revenues during Q2 2012, and increased 40% compared with Q2 2011.
Yandex is an internet technologies company that operates in Russia, CIS and Turkey. It is the largest Russian and fourth-largest world internet search engine. Yandex is an acronym for the phrase Yet Another Indexer. As of March 2013, Yandex had about 61% of the Russian search market (source: LiveInternet.ru). Yandex’s mission is to give the answer to the user anytime and anywhere. Company provides its services for desktop and mobile users and develops embedded solutions as well. The company specializes on highly-targeted...