eBay Inc, PayPal report double-digit revenue for first quarter

18 Apr 2013

Revenue at online auction giant eBay Inc and eBay Inc-owned online payments player PayPal increased 14pc and 18pc during the first quarter, respectively, with mobile playing a key role in the business’ performance.

eBay Inc’s revenue for the quarter ended 31 March 2013 amounted to US$3.7bn, compared to the year-ago period, while PayPal’s revenue totalled US$1.5bn.

First-quarter net income reached US$677m, or US$0.51 per diluted share at eBay Inc, and PayPal’s net total payment volume increased  21pc to US$41bn, driven by consumer and merchant use of PayPal both on and off eBay.

“We had a strong first quarter, with accelerating user growth across both Marketplaces and PayPal, and with GSI enabling their retail clients to grow faster than e-commerce,” said John Donahoe, eBay Inc president and CEO.

GSI Commerce is a unit of eBay Inc that provides retailers with e-commerce technology and services.

“Technology is creating a commerce revolution, and we are in the forefront with strong mobile leadership and a focus on helping retailers and brands engage consumers anytime, anywhere,” Donahoe added.

Downloads of eBay Inc’s suite of mobile apps have surpassed 162m since launching in the third quarter of 2008.

eBay Inc gained about 2.8m new customers in the first quarter through mobile, driving double-digit growth in active users at both PayPal and Marketplaces.

PayPal’s active registered accounts increased by 5m in the first quarter to 128m, an increase of 16pc.

The company’s Marketplaces business also delivered an increase in first-quarter revenue of 13pc to $2.0bn.

Marketplaces gained 3.9m active users in the period and ended the quarter with 116m, a 13pc increase.   

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