Inside eBay Inc.’s Strong Q1 Results
By: eBay Inc. Staff
eBay Inc. is off to a strong start this year, and Q1 results came out today. Revenue for the first quarter of 2013 rose 14 percent year over year to $3.7 billion compared to the same period of 2012. Net income on a GAAP basis was $677 million, or $0.51 per diluted share, and non-GAAP net income was $829 million, or $0.63 per diluted share, up 14 percent year over year. eBay Inc. businesses performed well, with accelerating customer growth across both Marketplaces and PayPal. With its strong mobile leadership, eBay Inc. is driving a commerce revolution.
Global Payments Strength
PayPal expanded its footprint in Q1, continuing to increase merchant coverage and share of checkout. Finishing the quarter with 128 million active accounts globally, PayPal added five million new active accounts during Q1. PayPal mobile continued its growth trajectory. In the trailing 12-month period, one out of every four PayPal account holders made at least one purchase through mobile.
Expanding its offline footprint, PayPal’s in-store, point-of-sale solution is now available in almost 20,000 retail locations across the U.S. And PayPal’s Discover partnership is on track to go live in Q2, with approximately two million U.S. merchant locations expected to be activated by year’s end.
Marketplaces Continues Expansion
The Marketplaces business was also strong. In Q1, eBay’s core, non-vehicles GMV grew 13 percent year over year. And in the U.S., core GMV was up 16 percent year over year. Active user growth increased 13 percent year over year, making this the fifth consecutive quarter of accelerating growth.
Globally, eBay officially launched its localized website in Russia in Q1, and eBay is now a major ecommerce platform in that market. In Q1, eBay also announced a simplified pricing structure for U.S. sellers, including free listings for consumers and eBay Store sellers. Marketplaces continues to invest in innovation and expanding its addressable market both locally and globally.
GSI Commerce Enables Retailers
In the first quarter, GSI Commerce’s success in enabling retail customers to grow faster than ecommerce continued. Same-store sales grew 16 percent year over year. Retailers and brands like Kate Spade and Dick’s Sporting Goods need a partner like GSI that understands omnichannel demand generation, consumer engagement and enterprise services at scale. We believe that GSI is uniquely positioned to leverage its innovative technology solutions to drive commerce growth for its customers across the eBay Inc. portfolio.
The company is well-positioned to benefit from broad consumer adoption of mobile, and is integrating mobile into every aspect of the business. On the global front, the Marketplaces and PayPal businesses are true global platforms today, with over half of users and volume coming from outside the U.S.
Learn more about eBay Inc.’s Q1 results here.