Wednesday, July 22, 2009
eBAY INC. REPORTS SECOND QUARTER 2009 RESULTS
San Jose, Calif., July 22, 2009 — eBay Inc. (Nasdaq: EBAY) today reported financial results for the second quarter ended June 30, 2009. The ecommerce company posted second quarter revenue of $2.10 billion, a $97.7 million year-over-year decrease. The year-over-year revenue growth of PayPal and Skype was offset by the effects of the stronger dollar and a modest decline in the Marketplaces business. The company recorded net income on a GAAP basis of $327.3 million or $0.25 per diluted share, and non-GAAP net income of $478.6 million or $0.37 per diluted share.
GAAP operating margin decreased to 19.6% for the quarter, compared to 24.8% for the same period last year. Non-GAAP operating margin decreased to 28.7% for the quarter, compared to 31.9% for the same period last year. The decrease in operating margins was caused primarily by the impact of the stronger dollar and the company’s continuing shift to faster growing, lower margin businesses, partially offset by strong cost controls.
eBay Inc. generated $730.7 million of operating cash flow during the second quarter. Free cash flow during the quarter was $602.3 million.
“We drove solid second quarter results, with strong momentum and market share gains at PayPal and continued stabilization in our core eBay business,” said eBay Inc. President and CEO John Donahoe. “We are managing our business with focus and discipline, delivering on our commitments while investing in our growth priorities. I’m pleased with our pace, our progress and our performance.”
Financial Highlights
(presented in millions, except per share data and percentages)
| Second Quarter | 2008 (Q4) | 2009 (Q4) | Change | |
|---|---|---|---|---|
| Net Revenue | $2,196 | $2,098 | ($98) | (4%) |
| GAAP | ||||
| Net income | $460 | $327 | ($133) | (29%) |
| Earnings (loss) per diluted | $0.35 | $0.25 | ($0.10) | (28%) |
| Non-GAAP | ||||
| Net income | $568 | $479 | ($89) | (16%) |
| Earnings per diluted share | $0.43 | $0.37 | ($0.06) | (14%) |
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