eBay has reported double digit increases to its mobile payment income through Marketplace and PayPal.
Leader in global commerce and mobile payments, eBay Inc. has announced that its first quarter revenue for 2012 was $3.3 billion, which is an increase of 29 percent when compared to the same time last year.
The eBay first quarter report indicated that the company saw a GAAP net income of $570 million, which translates to $0.44 per diluted share. It also stated that its non-GAAP net income was about $0.55 per share, at $725 million. The primary driver for the year-over-year increase in both the GAAP and non-GAAP earnings per diluted share in the first quarter was strong growth in the top line. However, this was somewhat offset by the investment increases in the overall shopping experience as well as the acquisitions impact.
John Donahoe, CEO and president of eBay, said…
The first quarter was a strong start to the year for us with momentum continuing in our Marketplaces, PayPal and GSI Commerce businesses.”
Donahoe went on to explain that he feels that the retail sector’s innovation is based heavily on technology and that “consumers are embracing smarter, easier, better ways to shop. We are enabling commerce in this new retail environment, supporting and partnering with sellers of all sizes and giving consumers worldwide the ability to shop anytime, anywhere, for whatever they want.”
PayPal and its online and mobile payments business contributed significantly to the Q1 performance.
The first quarter closed with 109.8 million active PayPal accounts. This was an increase of 12 percent over the same time last year. The revenue at PayPal also rose by 32 percent over the first quarter of 2011. This was mainly driven by the increased eBay adoption by consumers and merchants in addition to its overall penetration.
The net total payment volume at PayPal saw a year-over-year increase of 24 percent, reaching $34 billion. That company is maintaining its investments in innovation, concentrating its attention both on the core platform as well as its mobile payments and point of sale efforts. It predicts that by the end of this year, it will have processed $7 billion in mobile total payment volume.
eBay mobile payments lead to solid Q1 2012