Did Yahoo finally catch a break? Despite better-than-expected earnings today, the embattled company's stock was initially down 0.3% in after-hours trading, but it trended upward soon after. That initial hesitation may be because Yahoo's acquisition by Verizon has stalled, with the deal now expected to close in Q2. The delay comes as Yahoo is cleaning up the mess left by two massive hacks on its system that exposed over 1 billion accounts. And on that front, the news keeps getting worse: Earlier today, reports emerged that Yahoo could be facing an SEC investigation for failing to disclose the breach sooner than it did.
Still, Yahoo reported earnings of 25 cents a share on revenue of $1.46 billion. Analysts had expected average earnings of 21 cents on $1.38 billion. Though desktop continues to decline, the company's mobile revenue grew this quarter. Its assets in Alibaba are also gaining in value.