Russia's leading search engine Yandex sees decline in USD revenue

[Russia] Yandex, the leading search engine and contextual advertising company in Russia, has reported a decline in USD revenue for the first time in the company’s history. Although it’s not quite as it seems.

In 2009 revenue was actually up 14% year-on-year to 8.7 billion Rubles but due to weakness in the local currency, this translated into a decrease in USD revenue of 9% year-on-year from $300 million in 2008 to $274 million in 2009, reports Quintura.

It’s a mixed story tainted by the weakness of the Ruble, since Yandex otherwise bucked the trend which saw the Russian advertising market shrink by 30%.

Contextual advertising accounted for 86% of Yandex revenues, with display advertising making up 11%. The remainder came from Yandex.Money, software sales, and other sources. The number of advertisers was up 55% to 120,000 with Yandex having a 78% share of the Russian contextual ad market in 2009, thought to be worth $9.6 billion Rubles ($302 million) as a whole.