Yahoo! has issued its quarterly financial report, presenting a mixed bag. The company, now helmed by founder Jerry Yang, saw a 2.3 percent drop in profits, but an 8 percent spike in revenue.

Profit dropped to $160.6 million for the quarter ending June 30, compared with $164.3 million in the corresponding period a year earlier. Revenue was up almost 8 percent to $1.7 billion from $1.58 billion.

Yang, who is in the process of a "top-to-bottom review" of the company, said he is committed to finding a unique solution, adding that "too often, we are defined by the competitive landscape."

Yang also conceded that Yahoo was slow to recognize the importance of display advertising.