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Mar 31, 2023

eBay Q1 2023 Earnings Report

eBay reported better-than-expected results, exceeding expectations on key financial and operating commitments and making significant progress against long-term objectives.

Key Takeaways

eBay Inc. reported its Q1 2023 financial results, with revenue of $2.5 billion, up 1% year-over-year, and a GAAP EPS of $1.05. The company's GMV was $18.4 billion, down 5% year-over-year. eBay generated $709 million in free cash flow and returned $384 million to shareholders through share repurchases and dividends.

Revenue reached $2.5 billion, a 1% increase as reported and a 3% increase on an FX-Neutral basis.

Gross Merchandise Volume (GMV) totaled $18.4 billion, reflecting a 5% decrease as reported and a 2% decrease on an FX-Neutral basis.

GAAP net income from continuing operations was $569 million, resulting in $1.05 earnings per diluted share.

The company generated $841 million in operating cash flow and $709 million in free cash flow from continuing operations.

Total Revenue
$2.51B
Previous year: $2.48B
+1.1%
EPS
$1.11
Previous year: $1.05
+5.7%
Active Buyers
133M
Previous year: 142M
-6.3%
Gross Merchandise Volume
$18.4B
Previous year: $19.4B
-5.2%
Gross Profit
$1.81B
Previous year: $1.79B
+0.9%
Cash and Equivalents
$2.08B
Previous year: $1.8B
+15.8%
Free Cash Flow
$709M
Previous year: $546M
+29.9%
Total Assets
$20B
Previous year: $23B
-13.0%

eBay

eBay

Forward Guidance

eBay is providing the following guidance for continuing operations for Q2 2023.

Positive Outlook

  • Net revenues are expected to be between $2.47 billion and $2.54 billion.
  • Organic FX-Neutral Y/Y Growth is expected to be between 1% and 4%.
  • Diluted GAAP EPS is projected to be in the range of $0.65 to $0.70.
  • Diluted Non-GAAP EPS is anticipated to be between $0.96 and $1.01.
  • The company's Board of Directors has declared a cash dividend of $0.25 per share of the company's common stock.