#USA #San Jose #financial results #2024 earnings #eBay Inc.

eBay Inc. Reports Financial Results for 2024

On February 26, 2025, eBay Inc. (Nasdaq: EBAY) released its financial results for the fourth quarter and the entire year of 2024, showcasing its resilience and growth in the global market. The company reported a revenue of $2.6 billion for Q4, marking a 1% increase year-over-year on both reported and foreign exchange-neutral bases. For the full year, total revenue reached $10.3 billion, which represents a 2% improvement compared to the previous year, indicating consistent performance in a fluctuating economic environment.

Key Financial Highlights

Fourth Quarter Performance

• - Gross Merchandise Volume (GMV) was recorded at $19.3 billion, reflecting a 4% increase on a reported basis and 3% on a foreign exchange-neutral basis.
• - Net income from continuing operations amounted to $680 million, translating to $1.40 per diluted share.
• - Operating margins showed strength, with GAAP operating margin at 21.1% and non-GAAP at 27.0%.
• - eBay returned a remarkable $1.0 billion to its shareholders, which included $900 million in share buybacks and $128 million in cash dividends.

Full Year Overview

In 2024, eBay's total GMV reached an impressive $74.7 billion, with a steady growth of 2% year-on-year. The net income from continuing operations for the year was $2.0 billion, equating to $3.95 per diluted share. The company reported GAAP and non-GAAP operating margins at 22.5% and 28.1% respectively, demonstrating effective cost management alongside revenue growth.

Strategic Initiatives and Investments

eBay's management attributed these promising results to several strategic initiatives launched throughout the year:

• - Investment in the U.K. market aimed at enhancing the customer experience for consumer-to-consumer sellers.
• - Expansion of an AI-powered bulk listing tool, which enables sellers across all categories in the U.S. to create detailed listings more efficiently.
• - Introduction of Klarna's buy now, pay later options to various European markets, which expands payment flexibility for consumers.
• - Notably, eBay facilitated contributions of nearly $49 million through its Charity program in Q4, reinforcing its commitment to social responsibility.

Looking Ahead

The company’s CEO, Jamie Iannone, expressed pride in eBay's performance, noting the achievement of three consecutive quarters of GMV growth and emphasizing their vision of reinventing ecommerce for enthusiasts. CFO Steve Priest highlighted that eBay surpassed financial expectations and is optimistic about building a solid foundation for 2025, aiming for sustainable growth in the upcoming quarters.

With continued investment in technology and customer experience, alongside an ambitious outlook that includes enhancing product offerings and operational efficiency, eBay is poised for a promising year ahead and is determined to drive long-term value for its shareholders.

Final Thoughts

In conclusion, eBay’s strong financial performance in 2024 showcases its capacity to adapt and thrive in a competitive e-commerce landscape. As the company moves forward, its focus will remain on innovation and enhancing user experience to ensure continued success in the global marketplace.