The New York Times > Technology > Market Place: Yahoo Reports Surge in Quarterly Earnings and Plans a Stock Split: "'Yahoo's results are just incredible,' said Jordan Rohan, an analyst with Schwab Soundview Capital Markets. 'There were no trade-offs,' he added, saying that most companies have to balance growth and profit margins. 'They were able to grow users, grow revenue per user, increase profit margins and maintain a very high free cash flow.'
Terry S. Semel, Yahoo's chief executive, attributed the financial results mainly to accelerating sales in the company's two advertising businesses - graphic display advertising and text ads linked to Internet searches. In addition, he said, subscribers increased faster than expected in Yahoo's dating service and Internet service partnerships with SBC Communications and the BT Group of Britain. "
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