Reporting its results for the three months to the end of September, Yahoo's revenues rose 12% to $1.8bn (£886m) from $1.6bn a year earlier.
Net profit fell 5% to $151m, eroded by sales and marketing expenses jumping to $877m from $697m last year.
Intel is now continuing with a top-to-bottom review of its operations.
It said it expects its full-year results for 2007 to be at the top end of market targets.
Yahoo makes most of its money from advertisers.
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