eBay Inc. Q2 results: PayPal saves the day
With revenues at $4.37bn compared with $3.88bn a year ago, and forecasts of $4.38bn from Wall Street, it does seem that a bullet has been dodged.
Not unusually, it’s the barnstorming performance of eBay Inc.’s PayPal division that has saved the day.
As eBay noted: “We had a challenging quarter with several distractions.” That’s something of an understatement. 145 million users are potentially stil left at risk after a security hack, Google downgraded eBay marketplace pages in search and widely respected PayPal boss David Marcus jumped ship. But they remain bullish.
President and CEO John Donahoe said: “In a challenging second quarter, our commerce and payments platforms delivered strong enabled commerce volume growth of 26 percent. PayPal generated another strong quarter while eBay’s growth was hampered by its global password reset for all users. We continued our momentum in the four competitive commerce battlegrounds of mobile, local, global and data. We delivered new experiences for PayPal and eBay customers, extended PayPal and eBay into new markets, made it simple and easy for developers to integrate PayPal and offered new ways to help merchants grow.”
We’ll let the experts cut the numbers over the next day or two so they can analyse the results. We’ll be back with a round up on Friday.
They have been sneaky with the numbers, smoke and mirrors. I think they waited as long as possible to go public with the hacking (21st May) thus the sudden drop off in sales will be only just over a month of Q2 and then they hope the traditionally slow summer can be used to brush over the detrimental effect this and Googles search engine downgrade has had on sales- this will be the real reason it took them so long to admit to the hack- protecting the shareholders, not the ebay users… (and once again paypal saves their bacon but for how long can they keep the two businesses together?)
They just create ways to extract more money without adding any value for this money.
Whats coming next for us sellers charging 10% for using the internet.