eBay Earnings Cheat Sheet: Paypal Drives Strong Growth As Sales Climb 15.9%

Profit increased, S&P 500 (NYSE:SPY) component eBay Inc.’s (NASDAQ:EBAY). eBay Inc. is an Internet company that, together with its subsidiaries, provides online marketplaces for the sale of goods and services. It also provides other online commerce platforms, online payment solutions and communication offerings to a diverse community of individuals and businesses.

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eBay Earnings Cheat Sheet for the First Quarter

Results: Net income for the catalog and mail order house rose to $475.9 million (36 cents/share) vs. $397.7 million (30 cents/share) in the same quarter a year earlier. A rise of 19.7% from the year earlier quarter.

Revenue: Rose 15.9% to $2.55 billion YoY.

Actual vs. Wall St. Expectations: EBAY‘s adjusted income of 47 cents per share topped the mean analyst estimate of 46 cents/share. Estimates ranged from 44 cents per share to 49 cents per share.

Quoting Management: “In the first quarter, PayPal continued to drive strong growth globally, eBay sharply accelerated growth in the U.S. and we announced several acquisitions that we believe will enhance our leadership and innovation in commerce and payments. The year is off to a strong start,” said eBay Inc. President and CEO John Donahoe.

Key Stats: Net income has increased 4.3% year over year on average across the last five quarters. The biggest gain came in the second quarter of the last fiscal year, when income climbed 25.9% from the year earlier quarter.

Competitors to Watch: Amazon.com, Inc. (NASDAQ:AMZN), GSI Commerce, Inc. (NASDAQ:GSIC), Liquidity Services, Inc. (NASDAQ:LQDT), Google Inc. (NASDAQ:GOOG), Overstock.com, Inc. (NASDAQ:OSTK), BIDZ.com, Inc. (NASDAQ:BIDZ), Gaiam, Inc. (NASDAQ:GAIA), U.S. Auto Parts Network, Inc. (NASDAQ:PRTS), HSN, Inc. (NASDAQ:HSNI), Wal-Mart (NYSE:WMT), Target (NYSE:TGT), Best Buy (NYSE:BBY) and Enable Holdings, Inc. (ENAB).

Today’s Performance: Shares of EBAY are trading at $34.55 as of April 27, 2011 at 5:30 PM ET, up 1.5% from the previous closing price of $33.08.


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