NEW YORK Yahoo recorded a tough first quarter with its profits dropping 78 per cent to $118 million. The drop in profits reflected in its share value that came down to eight cents from 37 cents when it had recorded profits of $539 million in the same period a year earlier. Overall revenue was down 13 per cent to $1.58 billion and marketing services revenue down 12 per cent. The drop in profits is attributed to their drastic cut in advertising revenue. Also going down is Yahoo's headcount; the company announced it would cut five per cent of its 13,500 staff. Keep up with the latest business news from the region with the Emirates Business 24|7 daily newsletter. To subscribe to the newsletter, please click here .