Dive Brief:

• Yahoo’s Q2 report revenue barely beat projections, but also included an earnings loss of $22 million compared to a profit of $270 million the same period last year.
• The tech company is leaning on mobile, video, native and social ads to get back on track.
• Yahoo is also losing ground in organic mobile search to Google

Dive Insight:

Yahoo released its Q2 earnings report, and the financial news remained pretty grim. It was projected to announce $1.03 billion in revenue and it surpassed that figure, barely, at $1.04 billion, but it also announced a loss of $22 million (two cents per share) as compared to the same period last year’s $270 million (26 cents per share) profit. The main change was a large increase in cost of revenue jumping from $44 million last year to $200 million this year.

The tech company is counting on its revenue category – MaVeNS – that covers mobile, video, native and social advertising to get back on track. It made $399 million from those ads in Q2, up 60% from last year, while revenue outside that category was $752 million, down 2% from last year.

Google continued to dominate organic mobile search in Q1 with more than 88% of U.S. traffic while Yahoo lost half a percentage point garnering only 7.1% of organic mobile search traffic. In somewhat positive news, the portion of search traffic on Yahoo via organic mobile searches was slightly up, rising 3% from Q1 to Q2, reaching 46%.