EBay Inc. Shares in Hourly Trading fell 5.3% after the company’s forecast for the holiday period was shortened with its financial results on Wednesday.
The e-commerce company posted third-quarter earnings of $ 283 million, or 43 cents per share, from continuous activity, down from $ 605 million, or 86 cents per share, down from the previous quarter. After adjusting for stock-compensation and other costs, eBay EBAY,
Earned 90 cents per share, 85 cents higher than a year ago and just before the factset consent, which called for 89 cents per share.
Revenue rose from $ 2.26 billion to $ 2.50 billion, while analysts were expecting $ 2.46 billion.
EBay reported a gross merchandise volume (GMV) of .5 19.5 billion, down 10% from a year earlier and 12% lower excluding foreign-exchange effects. Analysts had expected V 19.1 billion in GMV, which measures the value of transactions completed on the platform.
One of eBay’s goals is to increase the number of “high-value shoppers” through efforts to authenticate handbags worth more than $ 500 and provide “enthusiasts” in sections such as trading cards and sneakers.
The company has continued to make progress with its managed payment initiatives as it seems to have more control over the payment process on its platform. In the third quarter, eBay saw more than 90% of its global on-platform volume rank through its managed-to-offer offers, up from 71% in the second quarter. More than 18 million vendors have been transferred to managed payments
The managed payments effort has helped the sixth-straight quarter of double-digit growth in transaction revenue and eBay expects to complete the transition by the end of the year.
“We’re starting in terms of opportunities to do what we can with trade and payments together in a single stream and a single experience,” CEO Jamie Eonon said in an income call.
EBay’s promotional listing offer generated $ 207 million in revenue during the period, up 12% from a year earlier and 9% more excluding currency effects.
“We’re reducing third-party advertising in favor of purposefully promoted listings, which provide higher performance and a better experience for both sellers and buyers,” said Stephen Priest, chief financial officer.
For the fourth quarter, eBay expects revenue of $ 2.57 billion to $ 2.62 billion and consistent earnings per share from 97 cents to $ 1.01. Factset Consent calls for $ 2.65 billion in revenue and $ 1.00 consolidated EPS.
Shares of eBay have risen 7.4% in the last three months as the S&P 500 SPX,
Increased by 3.4%.