EBay earnings ride on PayPal success

EBay earnings ride on PayPal success

San Francisco: Online auction powerhouse eBay reported that its recent quarter net earnings surged due to the success of its Internet payments service PayPal.

Revenue for the quarter that ended 30 September rose just a percent to $2.25 billion while net profit climbed 23% to $432 million when compared to the same period a year earlier.

“We delivered strong third quarter results, with great performance at PayPal and stable results at eBay," said eBay chief executive John Donahoe on Wednesday.

“PayPal gained share globally and eBay continued to improve key metrics."

PayPal added more than a million new accounts monthly, ending the quarter with 90 million active accounts, according to eBay.

The company forecast that net revenue in the current quarter would tally from 2.39 to $2.49 billion and that per-share earnings would range from 37 cents to 40 cents.

eBay stock rose 7.13% to $27.49 in after-hours trading that followed release of the earnings figures.