Tags: ebay | earnings

eBay Forecasts Revenue Below Estimates

eBay Forecasts Revenue Below Estimates
(AP)

Wednesday, 30 October 2024 04:45 PM EDT

Ecommerce firm eBay forecast fourth-quarter revenue below Wall Street estimates on Wednesday as cautious consumers shun collector's items and refurbished goods, sending its shares down 11% in extended trading.

The broader economy is still fluctuating and customers are still cautious about discretionary spending.

Several discretionary marketplaces have been struggling to sustain growth, analysts at Bernstein have said, highlighting the challenging macro backdrop eBay is operating against.

EBay has been under pressure as inflation-hit shoppers become increasingly choosy about their online purchases.

U.S. holiday sales are expected to grow as much as 3.5% from November to December, the slowest pace in six years, the National Retail Federation forecast in October, as shoppers turn more frugal and get picky with spending on non-essentials.

EBay expects revenue in the range of $2.53 billion to $2.59 billion for the fourth quarter ending Dec. 31. Analysts on average were expecting $2.65 billion, according to data compiled by LSEG.

The company forecast fiscal year 2024 revenue to be between $10.23 billion and $10.29 billion, below estimates of $10.32 billion.

For the third quarter ended Sept. 30, eBay posted revenue of $2.58 billion, above analysts' estimate of $2.55 billion.

Gross merchandise volume, a key industry gauge that denotes the total value of goods and services sold on the marketplace, rose 2% to $18.3 billion in the quarter.

© 2024 Thomson/Reuters. All rights reserved.


StreetTalk
Ecommerce firm eBay forecast fourth-quarter revenue below Wall Street estimates on Wednesday as cautious consumers shun collector's items and refurbished goods, sending its shares down 11% in extended trading.
ebay, earnings
220
2024-45-30
Wednesday, 30 October 2024 04:45 PM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.
 
Get Newsmax Text Alerts
TOP

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved
NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved