Yandex's Q2 net profit falls as costs rise versus 2022 'anomaly'

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Yandex's Q2 net profit falls as costs rise versus 2022 'anomaly'
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:Russian tech giant Yandex reported a 27 per cent fall in second-quarter net profit on Thursday as costs rose from a year earlier when the company tightened spending in the immediate aftermath of Russia's invasion of Ukraine.Often dubbed 'Russia's Google', Yandex has struggled to balance domestic pressures wi

:Russian tech giant Yandex reported a 27 per cent fall in second-quarter net profit on Thursday as costs rose from a year earlier when the company tightened spending in the immediate aftermath of Russia's invasion of Ukraine.

Yandex's net income fell to 9.6 billion roubles while its adjusted earnings before income, tax, depreciation and amortisation fell 4 per cent to 24.7 billion roubles. "A year ago, Yandex had strong EBITDA due to a very low base of costs. The company froze hiring, cut part of its marketing budgets and was generally stricter on cost control."Its e-commerce division's gross merchandise volume rose 89 per cent versus a 67 per cent gain last quarter.

Yandex has benefited from the decision by Alphabet's Google to stop selling online advertising in Russia last March, while keeping some free services available.Yandex's Dutch-registered holding company is advancing plans to divest ownership and control of most of Yandex Group with a corporate restructuring.

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