eBay Inc. (NASDAQ: (EBAY) stock plunged by 1.07% at last close while the EBAY stock price declines by 6.00% in the pre-market trading session. eBay is the world’s largest online marketplace, connecting millions of buyers and sellers in over 190 countries.
EBAY stock’ Financial Results
EBAY announced positive financial highlights for its third quarter of 2021.
- On an as-reported basis, revenue totaled as $2.5 billion an increase of 11%, and on a foreign currency (FX) neutral basis, revenue was $2.5 billion which is a rise of 10%.
- The company earned $283 million in GAAP net income from continuing operations or $0.43 per diluted share.
- The company earned $591 million in non-GAAP net income from continuing operations.
- Ongoing operations produced $661 million in operational cash flow and $502 million in free cash flow.
- Annual active purchasers decreased by 5%, bringing the total number of active buyers to 154 million worldwide.
- Annual active sellers were stable at 19 million worldwide.
Jamie Iannone, Chief Executive Officer of eBay stated that,
Their team had another outstanding quarter, reaching or exceeding their targets across the board for all major business KPIs and making significant progress toward their multi-year strategy. The Q3 results show that their strategic plan is still working, as seen by the near completion of their managed payments migration, growth of their advertising portfolio, and volume increase in the key categories. He is delighted that they’ve been able to improve customer happiness, foster trust, and foster consistent innovation while managing to set and achieve aggressive climate-action targets.
Business Updates
- eBay increased its expected share repurchase from $5.0 billion to $7.0 billion in its 2021 capital allocation plans.
- The corporation stated in October that the Science-Based Targets project has accepted its ambitious greenhouse gas (GHG) objective (SBTi).
- eBay has also pledged to be carbon neutral by the end of 2021 for its workplaces and data centers (scope 1 and 2), becoming one of the first eCommerce corporations to do so. With this pledge, eBay will keep on putting a premium on decreasing its carbon footprint and will offset any residual emissions to achieve carbon neutrality from this year forward.
