Yahoo to report 1st full quarter under CEO Mayer

Mayer also may elaborate on her strategy to buy startups for $100 million or less to bring in new ideas and product into Yahoo. Since the end of the third quarter, Yahoo has bought a trio of small companies — Stamped, OnTheAir and Snip.It — primarily to lasso their employees into its workforce.

WHY IT MATTERS: Despite its financial struggles, Yahoo still operates one of the world's most popular websites.

If Yahoo can revive its revenue growth, the company will be in a better position to make investments that spur more innovation and competition with its rivals. If that happens, consumers could benefit from better online and mobile services.

If Yahoo can't bounce back, it could resort to cutting costs by laying off workers at a time the U.S. economy is still on shaky ground.

WHAT'S EXPECTED: Analysts polled by FactSet project earnings of 27 cents per share on net revenue of $1.21 billion. The earnings estimate excludes an $83 million charge that Yahoo planned to take to account for the recent closure of its offices in South Korea. The revenue figure subtracts the commissions that Yahoo pays to its advertising partners.

LAST YEAR'S QUARTER: Yahoo earned $296 million, or 24 cents per share, on net revenue of $1.21 billion at the same time in 2011.