E-commerce giant eBay posts solid second-quarter results despite economic uncertainty: Details – eBay (NASDAQ:EBAY)

eBay Inc. EBAY announced an increase in revenue in the second quarter of fiscal 2024 by 1% year-on-year on a reported basis and by 2% year-on-year after taking into account currency differences, to USD 2.57 billion, which exceeded the consensus of USD 2.53 billion.

Gross sales volume reached USD 18.4 billion, up 1% year-on-year both on a reported basis and excluding exchange rate fluctuations.

Adjusted operating margin was 27.9%, compared with 26.9% a year ago. Adjusted EPS of $1.18 beat the consensus of $1.13.

During the quarter, the company generated $367 million in cash flow from operations and $278 million in free cash flow.

At the end of June, the company’s cash, cash equivalents and non-capital investments totaled $6.3 billion.

eBay returned $1.1 billion to shareholders during the quarter, consisting of $1 billion in share repurchases and $135 million in cash dividends.

Jamie Iannone, CEO, said: “Sustained momentum in our priority categories has driven growth in our global merchandise volume (GMV), while new AI capabilities are driving innovation across the platform and transforming the eBay customer experience around the world.”

Dividend:The eBay board of directors declared a cash dividend of $0.27 per share. The dividend is payable on September 13 to shareholders of record as of August 30.

Perspectives:eBay expects third-quarter revenue of $2.50 billion to $2.56 billion, up 1% to 3%, regardless of exchange rates Year/Year), compared to the consensus of $2.54 billion and adjusted earnings per share of $1.15-$1.20 compared to the consensus of $1.13.

“We achieved positive year-over-year GMV growth, driven by strategic initiatives, despite uneven discretionary demand across our core markets,” said Steve Priest, eBay’s CFO.

Investors can gain exposure to stocks through ProShares Online Retail ETF ONNL AND Global X E-commerce ETF EBIZ.

Also read: eBay Likely to Report Higher Second-Quarter Profit; These Most Accurate Analysts Revise Forecasts Ahead of Earnings Call

Reduction:EBAY shares fell 0.38% to $55.40 before the open in the last session on Thursday.

Reservation: This content was prepared in part using AI tools and was reviewed and published by Benzinga editors.

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