Internet marketing services providers may be interested in Yahoo!'s latest earnings report for the fourth quarter of last year.

The figures reveal the company saw revenues of just over $1.5 billion (£948 million) in the last three months of 2010, which represented a drop of 12 per cent on the previous quarter.

Income was affected by the terms of its deal with Microsoft to have its search results provided by Bing, which sees a percentage of Yahoo!'s search income go to the Seattle-based technology organisation.

However, chief executive officer of the company Carol Bartz described the last year as "encouraging" and said that plans to turn around the firm's fortunes are "gaining momentum".

She pointed out that operating income had doubled and revenue from display advertising had increased by 17 per cent.

Ahead of the release of the report, Yahoo! confirmed it is to lay off one per cent of its workforce, amounting to around 140 staff.

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