US internet firm Yahoo says it will fire at least 10 per cent of its workforce during the next two months to cope with a crumbling economy that dented its third-quarter profit.
The cuts announced on Tuesday translate into at least 1,400 layoffs from a workforce of 14,300 employees. It will be Yahoo's second round of mass cutbacks this year as management tries to end a three-year slump that has hammered the company's stock price.
Things got worse in the third quarter as Yahoo earned $US54.3 million ($A77.1 million), or 4 cents per share, plunging 64 per cent from $US151.3 million ($A214.7 million), or 11 cents per share, last year.
The profit fell short of the 9 cents per share forecast by analysts polled by Thomson Reuters.