eBay share price up 5% on Q1 results revenue beat
The online commerce company stock rises after a better-than-expected Q1 earnings report.
|Earnings per share(EPS)||$0.67|
eBay share price up 5% after Q1 earnings revenue beat
eBay’s Q1 earnings per share were $0.67, beating expectations of $0.63. eBay’s Q1 revenue was $2.64 billion, surpassing financial experts’ predictions of $2.58 billion. Chief executive officer, (CEO), Devin Wenig, explained the reason’s for the e-commerce site’s success in a statement.
‘We delivered a solid first quarter with revenue and EPS.Our initiatives to create a next generation payment and advertising experience are on track, we saw healthy buyer growth and disciplined cost control, and we continue to simplify the buying process while remaining focused on seller’s success,’ said Wenig.
How did eBay’s Q1 results compare to other ecommerce companies?
While Amazon doesn’t report its earnings until later this week, the company’s Q4 2018 report barely beat estimates. In contrast, eBay’s Q1 profits also slightly exceeded predictions. During eBay’s Q1 revenue report, Wenig wrote about the difference between eBay and Amazon.
‘Unlike other digital commerce businesses, we don’t compete with our sellers and we refuse to compromise the shopping experience to push 'house brands' and irrelevant posts. Millions of small businesses and consumers sell only on eBay. I believe it’s because of our purpose and policies – this matters to customers,’ said Wenig.
What is eBay’s full-year guidance?
For its full-year guidance,eBay expects its revenue to grow between $10.83 billion and $10.93 billion.
eBay survives against Amazon
Elliott Management's stake in eBay likely helped the company cut costs and increase customer growth. Though Amazon is the dominant online retail site, eBay proved it can survive against the ecommerce behemoth.
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