Yahoo Inc's fourth-quarter profit fell by 61 per cent from the same period last year due to delays in its newest Internet advertising software, the company said.
Net income fell to $268.7 million. Sales, not including revenues passed on to partner sites, were up 15 per cent at $1.23 billion, the company said on Tuesday.
The company has struggled to keep up with Google Inc among web search engines.
Sales for 2006 were $6.4 billion, and earnings for the year were $751.4 million.