eBay Q3 2024 Earnings Report
Key Takeaways
eBay Inc. reported Q3 2024 financial results with revenue of $2.6 billion, up 3% year-over-year. The company's GAAP EPS was $1.29 and non-GAAP EPS was $1.19. GMV increased by 2% to $18.3 billion. eBay returned $881 million to stockholders through share repurchases and dividends.
Revenue reached $2.6 billion, marking a 3% increase on both as-reported and FX-Neutral bases.
Gross Merchandise Volume (GMV) amounted to $18.3 billion, reflecting a 2% rise on an as-reported basis and a 1% increase on an FX-Neutral basis.
GAAP net income from continuing operations stood at $636 million, translating to $1.29 per diluted share.
The company generated $755 million in operating cash flow and $646 million in free cash flow.
eBay
eBay
Forward Guidance
eBay is providing the following guidance for the fourth quarter and full year 2024.
Positive Outlook
- Revenue for Q4 2024 is expected to be in the range of $2.53 billion to $2.59 billion.
- Full year revenue for 2024 is projected to be between $10.23 billion and $10.29 billion.
- Diluted GAAP EPS for Q4 2024 is estimated to be $0.96 to $1.01.
- Diluted non-GAAP EPS for Q4 2024 is forecasted to be $1.17 to $1.22.
- Full year diluted non-GAAP EPS is expected to be $4.80 to $4.85.
Challenges Ahead
- FX-Neutral Y/Y Growth for Q4 2024 is expected to be (1)% - 1%.
- Diluted GAAP EPS estimates include approximately $70 million of gain upon the expiration of the Aurelia option but does not assume any gains or losses on our remaining equity investments.
- Estimated non-GAAP amounts for the three months ending December 31, 2024 reflect adjustments that exclude the estimated amortization of acquired intangible assets of approximately $10 million, estimated stock-based compensation expense and associated employer payroll tax expense of approximately $140-$150 million and estimated adjustment between our GAAP and non-GAAP tax rate of approximately $20-$30 million.
- FX-Neutral Y/Y Growth for full year 2024 is expected to be 2% - 2%.
- Estimated non-GAAP amounts above for the twelve months ending December 31, 2024 reflect adjustments that exclude the estimated amortization of acquired intangible assets of approximately $37 million, estimated stock-based compensation expense and associated employer payroll tax expense of approximately $597-$607 million and estimated adjustment between our GAAP and non-GAAP tax rate of approximately $109-$119 million.