Facing a tight economic climate and strong dollar overseas, eBay reported on Wednesday a 7 percent revenue drop in the fourth quarter and weaker net profits.
Shares of eBay, in after-hours trading, fell 6.25 percent to $12.45. The stock rose nearly 6 percent to close at $13.28 a share during regular trading.
The online auction giant reported revenue of $2.07 billion, down 7 percent from a year ago. That figure fell short of analysts' expectations of $2.12 billion in revenue.
eBay's net income, meanwhile, fell nearly 31 percent to $367 million in the fourth quarter, or 29 cents a share, compared with net income of $531 million, or 39 cents a share, a year earlier. Excluding charges, the company posted non-GAAP net profits of $524 million, or 41 cents a share, beating Wall Street's expectations of 39 cents a share profit, according to Thomson Reuters.
eBay CEO John Donahoe said in a statement:
While the holiday season was tough and competitive, our overall results for 2008 were strong.
For 2008, we delivered double-digit revenue and earnings growth; made significant changes in our eBay business; and built a stronger, more diverse portfolio of leading e-commerce businesses. We will build on our strengths in 2009 while managing our business prudently in the continued challenging environment.
【some comments】
by studiodave56 January 21, 2009 3:48 PM PST
I have stopped selling on fee-Bay because they don't want me there anymore, telling me, how much to charge for items, and shipping, and how long I can take to ship, and how I must get paid. And to think, I thought it was my stuff I was selling.
by paul_swansson January 22, 2009 1:30 AM PST
In other ebay news ebay has raised its fees by 7%
by SupplyIsUnlimited January 26, 2009 3:40 AM PST
Not only that, but the pretended to actually lower their fees. Who do they think they are fooling? Certainly not their stock holders.
by Noneyabeeswax January 22, 2009 11:34 AM PST
If I want new items, I don't go looking at eBay. The loss of shipping costs to return an item is outrageous, and the sellers can't buy at a volume to compete with the prices that Amazon offers. eBay trying to compete with Amazon as a fixed price venue is ridiculous. If they continue on this path, I don't think they'll have many customers left. All the really neat and unique items are just about gone, and that's what I went to eBay to find in the first place. They're pricing themselves right out of business. I've had fun over the years at eBay, but their switch to a "New" style page, and the next thing is forcing a "New" search page on customers is the final straw. I'll go looking elsewhere for items.
by casper1n1 July 2, 2009 8:29 PM PDT
Ebay is a rip off. If anyone wants a new place to sell or buy anything. Go to Aucsome.com, they are an auction site they doesn't charge any fees. I have posted lots of stuff on there, so lets all show Ebay we don't need them when they become this greedy!
