eBay Earnings: Exceeds Estimates on Double-Digit Revenue Growth
eBay Inc. (NASDAQ:EBAY) saw its profit drop year-over-year, yet beat Wall Street’s expectations on the top-line and bottom-line. Investors were impressed by eBay’s ability to deliver double-digit revenue growth. Shares are up 1.72%.
eBay Inc. Earnings Cheat Sheet
Results: Net income decreased -53.17% to $927 million (70 cents per diluted share) in the quarter versus a net gain of $1.98 billion in the year-earlier quarter.
Revenue: Rose 18.34% to $4 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: eBay Inc. reported adjusted net income of 70 cents per share. By that measure, the company beat the mean analyst estimate of $0.69. It beat the average revenue estimate of $3.98 billion.
Quoting Management: “Mobile continues to rewrite the commerce playbook, and we continue to be a mobile commerce and payments leader,” John Donahoe, eBay Inc. President and CEO said…
“eBay mobile finished the year with $13 billion in volume – more than double the prior year – and PayPal mobile handled almost $14 billion in payment volume, more than triple the prior year. In 2013, we expect each to exceed $20 billion.”
Revenue increased 17.51% from $3.4 billion in the previous quarter. Net income increased 55.28% from $597 million in the previous quarter.
Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.63 and has not changed. For the current year, the average estimate has moved up from a profit of $2.34 to a profit of $2.35 over the last ninety days.
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(Company fundamentals provided by Xignite Financials.)