Wed, Jan. 21, 4:42 PM
- Along with its Q4 results, EBAY announces it has reached a standstill agreement with Carl Icahn, whose demand for a PayPal spinoff was satisfied last September. Icahn Capital exec Jonathan Christodoro will be joining eBay's board; Icahn will have the right to decide whether Christodoro serves on eBay or PayPal's board after the spinoff.
- Also joining eBay's board: Former Wellington Management chairman/CEO Perry Traquina, and Frank Years, the chairman of financial advisory firm CamberView Partners. The board now has 15 directors, 13 of whom are declared to be independent.
- Confirming a December WSJ report, eBay says it's cutting 2,400 jobs (~7% of its workforce). The layoffs will cut across Marketplaces, PayPal, and eBay Enterprise, and be carried out in Q1.
- The company is now "exploring strategic options for eBay Enterprise, including a sale or IPO." While declaring Enterprise, which provides various e-commerce services for major online retailers, a "strong business," eBay says it has become clear the unit "has limited synergies" with either Marketplaces or PayPal.
- Enterprise's sales rose 9% Y/Y in Q4 to $443M, accounting for 9% of eBay's revenue.
- EBAY now +3.7% AH. Q4 results/guidance, PR
Wed, Jan. 21, 4:19 PM
- eBay (NASDAQ:EBAY): Q4 EPS of $0.90 beats by $0.01.
- Revenue of $4.92B (+8.6% Y/Y) misses by $10M.
- Expects Q1 revenue of $4.35B-$4.45B and EPS of $0.68-$0.71, below a consensus of $4.7B and $0.76.
- Expects 2015 revenue of $18.6B-$19.1B and EPS of $3.05-$3.15, below a consensus of $19.97B and $3.26.
- Shares -1.2% AH.
- Press Release
Tue, Jan. 20, 5:35 PM
Oct. 15, 2014, 4:33 PM
- EBAY expects Q4 revenue of $4.85B-$4.95B and EPS of $0.88-$0.91, mostly below a consensus of $5.16B and $0.91.
- The company notes the existence of "rapidly changing competitive environments in commerce and payments" - Amazon and Stripe are likely nodding in approval - and says it highlights the value of splitting Marketplaces and PayPal.
- Nonetheless, PayPal's Q3 numbers were healthy. Payments revenue +20% Y/Y (an even growth rate with Q2) to $1.95B ; total payment volume +29% (also even with Q2) to $56.6B.
- PayPal active accounts grew by 4.4M (up from Q2's 4M) to 157M. PayPal Credit +29%. Payments take rate fell to 3.45% from 3.53% in Q2 and 3.7% a year ago.
- Marketplaces was softer: Revenue only +6% (down from Q2's 9%) to $2.16B. GMV +9% to $20.1B, after growing +12% in Q2. U.S. GMV +7%, international +11%. Active buyers rose by 3.4M to 152M.
- PayPal mobile payment volume +72% to $12B; Marketplaces mobile volume +41% to $7B. PayPal is set to process 1B mobile transactions in 2014.
- GAAP opex +17% to $2.18B. Only $8M was spent on buybacks.
- EBAY -3.1% AH. Q3 results, PR.
Oct. 15, 2014, 4:16 PM
Oct. 14, 2014, 5:35 PM
Jul. 16, 2014, 4:45 PM
- EBAY expects Q3 revenue of $4.3B-$4.4B and EPS of $0.65-$0.67, below a consensus of $4.42B and $0.70. It expects 2014 revenue of $18B-$18.3B and EPS of $2.95-$3.00, in-line with a consensus of $18.2B and $2.98.
- $1.7B was spent on buybacks in Q2, nearly even with Q1's $1.8B and allowing EPS to beat estimates in spite of a revenue miss.
- PayPal division revenue +20% Y/Y in Q2 (to $1.74B) vs. +19% in Q1. Total payment volume growth improved to 29% from 27% - eBay payments +13%, non-eBay +35%.
- PayPal active accounts rose by 4M Q/Q to 152M, and a deal was signed with GE to offer a dual-branded credit card. The related loan portfolio will be bought in 2016 for an estimated ~$1B.
- Marketplaces revenue +9% (to $2.17B) vs. +10% in Q1. In spite of Google's algorithm changes and the security breach, GMV growth was steady at 12%. Active buyers rose by 3.8M Q/Q to 149M. Enterprise revenue +3% to $267M.
- eBay's total enabled commerce volume rose 26% to $62B. Mobile made up 20% of the total, with mobile downloads producing 6.6M new customers.
- Opex +14% Y/Y to $2.18B. Cash/investments total $12.4B, and debt $5.3B.
- Q1 results, PR
Jul. 16, 2014, 4:16 PM
Jul. 15, 2014, 5:35 PM
Apr. 29, 2014, 4:36 PM
- Though EBAY beat Q1 estimates, it's guiding for Q2 revenue of $4.325B-$4.425B and EPS of $0.67-$0.69, largely below a consensus of $4.40B and $0.70. Full-year guidance (revenue of $18B-$18.5B and EPS of $2.95-$3.00) has been reiterated.
- PayPal division revenue rose 19% Y/Y (even with Q4) to $1.85B, payments volume grew 27% (better than Q4's 25%) to $52B. PayPal accounts rose by 5.8M Q/Q (up from Q4's 5.2M) to 148M.
- Marketplaces revenue grew 10% (down from Q4's 12%) $2.16B. GMV rose 12% (down from Q4's 13%) to $20.5B; U.S. GMV +11% (down from recent quarters), international +13%. Active buyers grew by 4.7M Q/Q to 147M. Marketplaces has been underperforming relative to Amazon and its 3rd-party sellers for some time.
- Three months after a $5B buyback was authorized, eBay says it spent $1.8B on buybacks in Q1 (Carl Icahn sends his regards). That led the company's cash balance to fall by $900M to $11.9B.
- eBay's mobile "enabled commerce volume" (ECV) rose 70% Y/Y to $11B, and made up 19% of total ECV. The company claims mobile downloads were responsible for attracting 6.5M new customers in the quarter. Cross-border trade made up 22% of ECV.
- Q1 results, PR
Apr. 29, 2014, 4:16 PM
Apr. 28, 2014, 5:35 PM
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Jan. 22, 2014, 5:25 PM
- Though Carl Icahn is pushing EBAY to do a PayPal spinoff, the company insists shareholders are better served by the status quo, and justifies its view by pointing to the ties between PayPal and eBay's e-commerce ops.
- Icahn's likely reasoning: PayPal is growing faster than the rest of eBay, and its online payments dominance would probably yield a premium valuation in the current environment. PayPal almost certainly accounts for over half of the $70.4B valuation eBay possessed as of today's close.
- In Q4, PayPal's revenue rose 19% Y/Y (even with Q3), and accounted for the lion's share of the $1.84B in Payments revenue produced by eBay. Payments volume rose 25% Y/Y to $52B, fueled by 31% growth from non-eBay merchants (boosted by Braintree). Registered accounts rose by 5.2M Q/Q to 143M.
- Marketplaces revenue rose 12% Y/Y (also even with Q3) to $2.23B, with GMV (exc. vehicles) rising 13% to $21.5B; the division has been losing share to Amazon. Fixed-price sales now make up 73% of GMV. Enterprise (formerly GSI Commerce) sales fell 2% to $392M.
- PayPal and Marketplaces respectively produced $27B and $22B in 2013 mobile transaction volumes, beating prior guidance of $20B. 40% of Marketplaces' Q4 GMV involved "a mobile touch point."
- $254M was spent on buybacks in Q4; that figure might grow in Q1. Opex rose 9% Y/Y, slower than revenue growth of 14%.
- EBAY pares its gains, shares now +5.2% AH.
- Q4 results, Icahn's stake/guidance
Jan. 22, 2014, 4:28 PM
- In tandem with its Q4 results, EBAY discloses Carl Icahn has taken an 0.82% stake in the company, has submitted two board nominations, and is calling for PayPal to be spun off into a separate business.
- Perhaps not coincidentally, eBay has also authorized a new $5B buyback, which raises its total authorization to $5.6B (good for repurchasing 7% of outstanding shares).
- Q1 guidance is for revenue of $4.15B-$4.25B and EPS of $0.65-$0.67, below a consensus of $4.3B and $0.72. 2014 guidance is for revenue of $18B-$18.5B and EPS of $2.95-$3.00, largely below a consensus of $18.5B and $3.12.
- EBAY +8.6% AH
Jan. 22, 2014, 4:16 PM
Jan. 22, 2014, 12:10 AM
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