How does this function with a "yield" work in detail?

I got this method (inside a Unity C# Script), but I do not understand how the "yield" part actually works.

I know from the MSDN that the function will return an IEnumerator which I could iterate throught, but this code waits 1,5 seconds and does not get iterated because this would mean, the objects created inside were created multiple times. Anyone here who can explain me how this code works?

IEnumerator DestroyShip()
{
    // create new gameobject
    Instantiate(ExplosionPrefab, transform.position, transform.rotation);
    // make current gameobject invisible
    gameObject.renderer.enabled = false;
    // set new position for the current gameobject
    transform.position = new Vector3(0f, transform.position.y, transform.position.z);
    // wait for 1,5 seconds 
    yield return new WaitForSeconds(1.5f);
    // make the current gameobject visible again
    gameObject.renderer.enabled = true;
}