eBay Net Income Declines 29% as Operating Margins Fall to 28.4% (EBAY)
Wed. October 21, 2009; Posted: 04:27 PM
Oct 21, 2009 (SmarTrend(R) News Watch via COMTEX) --
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PowerRating -- 10/21/2009-Ebay (NASDAQ:EBAY) reported Q3 EPS 38 cents, topping consensus estimates of 37 cents. Revenues in the quarter rose 6% year-over-year to $2.24 billion, and came in ahead of consensus estimates of $2.14 billion. EBay said it expects Q4 net revenues in the range of $2.20 billion to $2.30 billion (vs. consensus estimates of $2.26 billion) with EPS in the range of $0.38 to $0.40 (vs. consensus estimates of $0.40). The company added that "These amounts assume a mid-quarter close date for the pending sale of Skype and do not reflect the gain on the pending sale of Skype of approximately $1.0 billion." Ebay said it ended the quarter with 520.8 million Skype users. Meanwhile, the company reported its total payment volume rose 19% to $17.7 billion, it said its operating margin fell to 28.4%.
"Our third quarter results were strong with PayPal gaining momentum and market share worldwide and our core eBay business showing positive trends," said eBay Inc. President and CEO John Donahoe. "We're delivering on our commitments, executing on our plans and operating smarter and faster."
Write to Chip Brian at cbrian@tradethetrend.com
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