SAN JOSE (dpa-AFX) - eBay Inc. (EBAY) Wednesday reported a second-quarter profit that trumped Wall Street analysts' estimates, as did revenues. Moving ahead, the company lowered its full-year revenue outlook, but lifted its earnings estimates, sending shares up nearly 5% in extended trading session.
eBay's second-quarter profit dropped to $402 million or $0.46 per share from $642 million or $0.64 per share last year.
Excluding one-time items, income from continuing operations were $0.68 per share, up from $0.53 per share last year. Analysts polled by Thomson Reuters expected earnings of $0.62 per share for the quarter.
Revenues for the quarter grew 2 percent to $2.69 billion from $2.64 billion last year. Analysts had a consensus revenue estimate of $2.68 billion for the quarter.
'We remained focused on building our active buyer base, delivering outstanding customer experiences, and accelerating our growth initiatives in the second quarter,' said CEO Devin Wenig. 'Managed payments continues to exceed expectations, while first party advertising is providing significant benefits to sellers, and new features are making our marketplace easier to use.'
In the second quarter, the company grew active buyers by 4 percent to a total of 182 million active buyers on the site. Gross merchandise volume for the quarter was down 4 percent to $22.6 billion.
Looking forward to the third quarter, the company expects revenues between $2.61 billion and $2.66 billion and adjusted earnings of $0.62 to $0.65 per share. Analysts currently expect earnings of $0.63 per share on revenues of $2.68 billion.
For full year 2019, the company now expects revenues of $10.75 billion to $10.83 billion and adjusted earnings of $2.70 to $2.75 per share. Previously, Ebay expected revenues between $10.83 billion to $10.93 billion and adjusted earnings of $2.64 to $2.70 per share.
Analysts currently estimate earnings of $2.69 per share and revenues of $10.92 billion.
EBAY closed Wednesday's trading at $39.03, down $0.89 or 2.23%, on the Nasdaq. The stock, however, gained $2.12 or 5.43% in the after-hours trade.
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