Search engine Yahoo! has revealed that its revenues from the online marketing services it provides were down in the first quarter of the year compared with the same period 12 months ago.
The firm reported total revenues of $1.06 billion (£647 million) for the first three months of 2011, a six per cent decline from the figure for Q1 2010.
It blamed the fall on a "required change in revenue presentation" due to its deal with Microsoft last year to share search results.
While income from display ads showed an increase of ten per cent, the search sector of the business performed less well, seeing a fall of 19 per cent.
This may be partly due to $56 million worth of reimbursements that were issued as a result of the site's properties switching over to Microsoft's Bing service. Yahoo! said it expects these costs to decrease as the transition nears completion.
According to the latest figures complied by comScore, Yahoo! witnessed a drop of 0.4 per cent in its share of the US search market in March.
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