eBay and PayPal end 2013 with increases in revenue

23 Jan 2014

Online auction giant eBay ended the fourth quarter with a 13pc increase in revenue to US$4.5bn compared to a year ago, while its subsidiary PayPal experienced a 19pc boost in revenue for both the year and fourth quarter.

For the full year of 2013, eBay’s revenue jumped by 14pc, with earnings per share up 9pc.

Net income for the fourth quarter amounted to US$850m, or US$0.65 per diluted share.

E-payments giant PayPal added 5.2m new accounts in the fourth quarter.

The company’s revenue comprised a large part of the US$1.84bn in Payments revenue reported.

Payment volume rose by 25pc for the year to US$52bn, due in part to participation of non-eBay merchants and payment platform Braintree, which PayPal acquired for US$800m in September.

John Donahoe, president and CEO of eBay Inc, said the company feels good about its performance and strong finish in the fourth quarter.

The holiday shopping season showed how online, mobile and other omni-channel commerce capabilities are changing how consumers shop and pay, he said.

“Mobile exceeded expectations for the year,” Donahoe added. “Our total mobile commerce volume grew 88pc, with eBay reaching US$22bn and PayPal hitting US$27bn in 2013.”

Tina Costanza was a journalist and sub-editor at Silicon Republic