vieweBay Inc

eBay sinks as subdued outlook overshadows in-line 1Q revenue and profit

The ecommerce giant posted adjusted earnings of US$0.53 on revenue of US$2.6bn which was largely in-line with expectations, but it was slightly more cautious with its second-quarter sales outlook

ebay advert
eBay grew active buyers by 4% in the quarter

eBay Inc (NASDAQ:EBAY) tumbled before the bell on Thursday after the online shopping giant’s in-line first-quarter results were overshadowed by a somewhat downbeat outlook.

The California-based group delivered revenue of US$2.6bn in the opening three months of 2018 - up 12% versus the year-ago period, its best growth for more than four years.

READ: Earnings release in full

Net income fell to US$407mln, or US$0.40 a share, from US$1.04bn, or US$0.94 a share, in the first quarter of 2017. Excluding one-off items, eBay reported adjusted earnings per share of US$0.53.

Analysts had expected adjusted earnings of US$0.53 on revenue of US$2.6bn.

eBay, which is still trying to prove that it can remain relevant in an ecommerce market dominated by Amazon.com Inc (NASDAQ:AMZN), disappointed some investors with its outlook though.

The StubHub owner said it expects second-quarter adjusted EPS of 52 US cents, in-line with forecasts, on revenue of between US$2.64 and US$2.68bn. Wall Street had been looking for 2Q revenue of US$2.68bn.

“In Q1 we drove good growth and made further progress with our multi-year effort to transform our customer experience and sharpen the eBay brand,” said Devin Wenig, President and Chief Executive.

Shares were down 5.6% to US$40.97 before the opening bell in New York.

Quick facts: eBay Inc

Price: 38.82 USD

Market: NASDAQ
Market Cap: $32.56 billion

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events


The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...



Full interview: Fireweed Zinc reveals 'best ever' hole drilled at Macmillan...

  Fireweed Zinc Ltd (CVE:FWZ) CEO Brandon Macdonald tells Proactive the zinc explorer has posted encouraging drill results from the first hole this year at the Boundary Zone in Yukon, an area that could boost the Macmillan Pass project's resources and economics. Macdonald says the...

2 days, 6 hours ago

2 min read