For the first quarter ended March 31, eBay Inc. posted net income of $626 million, or 51 cents per diluted share, versus a loss of $2.33 billion, or $1.82 per diluted share, in the period a year ago. Adjusted earnings were $943 million, or 77 cents per diluted share, versus $899 million, or 70 cents per diluted share, in the year-prior period, the company reported.
Adjusted diluted earnings per share were seven cents better than an average analyst estimate published by Thomson Reuters, with the PayPal operation key to the beat. PayPal net total payment volume grew 18% in the first quarter to $61 billion, eBay asserted.
Net revenue was $4.45 billion versus $4.26 billion in the year-earlier quarter, eBay noted. Net revenue in the Marketplaces portion of the business, was $2.07 billion in the first quarter versus $2.16 billion in the period a year earlier. Gross merchandise volume was $20.2 billion versus $20.55 billion in last year’s quarter, the company related.
According to eBay, Marketplaces gross merchandise volume declined 2%, with a strengthening dollar weighing on results. In the United States, gross merchandise volume gained 2%, while international volume slipped 4%. With foreign currency exchange volatility excepted, international gross merchandise volume was up 7% and global gross merchandise volume was up 5%, e-Bay maintained.
Marketplaces added 2.1 million new buyers in the quarter, up 8% to 157 million, the company added. Although active buyer growth continued to decline on a rolling 12-month basis, the company asserted that it is seeing signs that business is stabilizing, with both three-month active buyer growth and foreign exchange rate neutral general merchandise volume growth flat at 5% on a sequential basis. Sold item growth improved sequentially to 9%.
The company noted that it is continuing investment to improve buyer and seller experiences, and to provide consistency across devices while building platform capability with the goal of improving traffic.
eBay Inc. noted that the company continues to plan the separation of eBay and PayPal into independent publicly traded companies in the third quarter.