On The Call: Yahoo CFO Tim Morse

SUNNYVALE, Calif. (AP) -- Yahoo Inc. didn't include its outlook for the rest of the summer in its second-quarter earnings report Tuesday because the Internet company has just hired a new CEO in Marissa Mayer.

But an analyst's question during Yahoo's earnings conference call prompted the company's chief financial officer, Tim Morse, to provide some thoughts about the potential challenges and opportunities during the three-month period ending in September.

In his remarks, Morse said he was unnerved by Federal Reserve Chairman Ben Bernanke's bleak assessment about the fragile state of the economy and worried about how the weakening Euro may depress Yahoo's revenue when the money is converted into U.S. dollars, On the positive side, Morse expects Yahoo to benefit from more advertising as more people flock to its website for coverage of the Summer Olympics and presidential campaign.

QUESTION: Are there any unusual items we should think about in the third quarter that might drive results such as the Olympics or other things that we should just be aware of?

ANSWER: I can tell you a few things. Again, the Fed comments today were a little bit cool, and that gives me a little bit of pause. Currencies are not with us. I can see at this point about $7 million quarter-over-quarter of adverse impact from currencies. ... The Olympics, we feel good about. That's not only an engagement driver but also it has real revenue attached to it. ... The spending on elections obviously starts early here in the third quarter, and it will go through November, obviously. Then, I guess the only other thing I'd mention is seasonally it's kind of a flattish quarter for us, if you look back over the last couple years. So, those are the general dynamics I see out there.