Yahoo’s third quarter earnings have trumped analyst expectations. The company reported revenue of almost $1.1 billion. CCTV America’s Mark Niu reports.

Yahoo invested in Alibaba in 2005 under the guidance of Yahoo’s founder and former Chief Executive Officer Jerry Yang. It turned out to be one of his wisest decisions ever, one that even current CEO Marissa Mayer thanked Yang for when she took over the company two years ago.

Yahoo is getting a windfall of tens of billions. In the Alibaba IPO, Yahoo said that it will sell about a quarter of its holdings, which is 140 million shares. At least half of the after-tax proceeds will go to shareholders in some form.

However Yahoo still has plenty of problems to fix. Analysts say Yahoo has not been nearly as aggressive as companies like Facebook, Amazon and Google in making acquisitions. Yahoo’s core advertising content business has also been on a steady decline.

However, there are some bright spots, like Yahoo Sports, Yahoo Tech, and its new streaming of live concerts on Yahoo Screen.

Mayer is now under the microscope to see whether her next series of moves can turn fortunes around and finally put an end to the revolving door of chief executives at one of Silicon Valley’s original technology innovators.