Net profit leapt to 50.8 million dollars or eight cents a share in the three months, up from 21.4 million dollars or three cents a share in the same period last year.

Sales soared 42.3 percent to 321.4 million dollars.

"We are very excited about the results we have seen in the second quarter, the largest revenue producing quarter in our history," chairman and chief executive Terry Semel said in a statement.

Sales were boosted by advertising, sponsored searches on the Internet, and the company's success in converting consumers and small businesses to fee-based services, he said.

"We are optimistic about the future and we remain steadfastly focused on execution against our priorities," Semel said.

Yahoo! forecast revenue for the whole of 2003 of 1.26 billion to 1.31 billion dollars, upgrading an earlier sales forecast for the year of 1.145 billion to 1.215 billion dollars.

It also tipped 2003 operating profit before depreciation and amortization of 375 million to 400 million dollars, up from the earlier forecast of 295 million to 330 million dollars.

SPACE.WIRE