In its second-largest acquisition, Amazon buys the company for $970 million.
The marketplace giant says m-commerce continues to be a ‘game changer.'
The value of merchandise sold on eBay Inc.’s U.S. marketplace increased 13.7% year over year in the second quarter ending June 30, 2012, eBay reported today. Globally, the value of merchandise sold on eBay’s marketplaces increased 10.2% year over year. The company’s revenue increased 23.1% in the second quarter compared with the same period in 2011.
EBay credits much of the growth in the U.S. marketplace to more active eBay users, increased mobile engagement and strong performance in the fashion, tickets, auto parts and accessories product categories.
"We’re particularly pleased with eBay Marketplaces, which delivered its strongest organic growth in gross merchandise volume since 2006,” says CEO John Donahoe. “And mobile continues to be a game changer. We now expect eBay and PayPal mobile to each transact $10 billion in volume in 2012—that's more than double [than] 2011, a staggering surge in mobile shopping and payments on devices that did not exist just a few years ago.”
For the second quarter ending June 30, 2012, eBay reported:
• The value of goods sold through eBay’s online marketplaces, excluding autos, increased about 10.1% in the second quarter to $16.17 billion from $14.68 billion in the same quarter last year. 57% of marketplace revenue is from outside the United States.
• Fixed-price sales represented 65% of marketplace volume, a 13% increase from a year earlier, reflecting eBay’s continued move away from the auction format as more large and midsized retailers use eBay as a sales platform, selling merchandise for a fixed price.
• Active users of eBay’s marketplaces totaled 113.2 million, up 12.9% from 100.3 million in Q2 of last year. (Active users are those who have listed or bought on eBay in the previous 12 months.)
• Payment volume increased 19.9% year over year to $34.45 billion from $28.74 billion.
• 67% of eBay’s payment volume came from the company’s merchant services unit that handles off-eBay payments for e-retailers.
• Active users of eBay’s payment services, which include consumers with PayPal or Bill Me Later accounts, increased 7.8% year over year to 104.8 million from 97.2 million.
• EBay’s net Q2 revenue increased about 23.2% to $3.40 billion from $2.76 billion a year ago.
• Q2 net income was $730 million, up 15.7% from $631 million a year ago.
"We delivered a great second quarter, driven by eBay Marketplaces' best performance in years, strong growth at PayPal and strong same-store-sales growth for GSI's large retail customers," Donahoe says. “Retail is at an inflection point, and we are helping to reshape how people around the world shop and pay.” EBay bought e-commerce services firm GSI Commerce about a year ago.