eBay reports first quarter profit of $677mln

PanARMENIAN.Net - eBay has reported a first quarter profit of $677 million, a rise of 19 per cent from the same period a year earlier, according to The Australian.

eBay's revenue grew 14 per cent to $3.75 billion, slightly below Wall Street's expectations. Analysts polled by FactSet were anticipating $3.77 billion.

For the current quarter, eBay expects earnings of 46 cents to 48 cents per share and adjusted earnings of 61 cents to 63 cents per share. Analysts are predicting higher earnings of 66 cents per share.

The company's revenue forecast of $3.8 billion to $3.9 billion is also slightly below the $3.95 billion analysts are expecting.

Benchmark analyst Daniel Kurnos believes eBay is confronted with tight retail inventories and potential pressure from credit card companies on PayPal's profit margins if they start charging fees for the payments service.