Ebay raises guidance as Q3 revenues soar

Heather Sandlin Thursday, 29 October 2020, 9:59Last Updated: Thursday, 29 October 2020, 9:59

1 minute read

Ebay has announced that revenue soared by 25% to $2.6bn (£2bn) in the third quarter ended 30 September, 2020.

In the same period, annual active buyers grew by 5% for a total of 183 million global active buyers, while gross merchandise volume was up by 22% to $25bn (£19.2bn) on an as-reported basis and up 21% on a foreign exchange (FX) neutral basis.

The group also generated $716m (£551m) of operating cash flow and $584m (£450m) of free cash flow from continuing operations.

Based on the company’s improved revenue and earnings outlook for Q4 and full-year, Ebay has now raised its full-year guidance for continuing operations.

Its previous guidance forecast that the business would report full-year revenues of $9.6bn (£7.4bn) to $9.8bn (£7.5bn), which has now been raised to a forecast of $10bn (£7.7bn) to $10.1bn (£7.8bn) in full-year revenues.

CEO Jamie Iannone said: “I’m pleased with the third quarter results. On an apples to apples basis, we delivered results that exceeded expectations on both the top and bottom lines.

“Our third quarter performance reflects the strength of our newly focused strategy coupled with the enormous untapped potential of our marketplace. As we continue our multi-year journey to become the best global marketplace to buy and sell, I am proud of the progress our team is making toward our tech-led reimagination.”