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Mar 31, 2022

eBay Q1 2022 Earnings Report

eBay's Q1 2022 results exceeded expectations amidst macro headwinds.

Key Takeaways

eBay reported Q1 2022 revenue of $2.5 billion, a 6% decrease year-over-year, and a GAAP EPS of $(2.28). Despite macro headwinds, the company remains confident in its long-term strategy and focus category playbook.

Revenue was $2.5 billion, down 6% as-reported and 5% FX-Neutral.

Gross Merchandise Volume (GMV) was $19.4 billion, down 20% as-reported and 17% FX-Neutral.

GAAP net loss from continuing operations was $1.3 billion, or $(2.28) per diluted share.

Non-GAAP net income from continuing operations was $625 million, or $1.05 per diluted share.

Total Revenue
$2.48B
Previous year: $3.02B
-17.9%
EPS
$1.05
Previous year: $1.09
-3.7%
Active Buyers
142M
Previous year: 187M
-24.1%
Gross Merchandise Volume
$19.4B
Previous year: $27.5B
-29.5%
Gross Profit
$1.79B
Previous year: $2.2B
-18.5%
Cash and Equivalents
$1.8B
Previous year: $1.67B
+7.9%
Free Cash Flow
$546M
Previous year: $855M
-36.1%
Total Assets
$23B
Previous year: $18.7B
+22.7%

eBay

eBay

Forward Guidance

eBay provided guidance for Q2 2022 with revenue between $2.35 - $2.40 billion and diluted EPS from continuing operations between $0.61 - $0.65 (GAAP) and $0.87 - $0.91 (Non-GAAP). Full year 2022 guidance includes revenue between $9.6 - $9.9 billion and diluted EPS from continuing operations between $(0.25) - $(0.05) (GAAP) and $3.90 - $4.10 (Non-GAAP).

Positive Outlook

  • Net Revenue Q2 2022: $2.35 - $2.40 billion
  • Diluted EPS from continuing operations Q2 2022: $0.61 - $0.65
  • Diluted Non-GAAP EPS Q2 2022: $0.87 - $0.91
  • Net Revenue Full Year 2022: $9.6 - $9.9 billion
  • Diluted Non-GAAP EPS Full Year 2022: $3.90 - $4.10

Challenges Ahead

  • Organic FX-Neutral Y/Y Growth Q2 2022: (9)% - (7)%
  • Diluted GAAP EPS Full Year 2022: $(0.25) - $(0.05)
  • Organic FX-Neutral Y/Y Growth Full Year 2022: (6)% - (3)%
  • Macroeconomic headwinds
  • GMV decline