eBay Inc. has reported a robust first quarter for 2025, surpassing analyst expectations with significant growth in both gross merchandise volume (GMV) and earnings.
The company’s revenue reached $2.6 billion, marking a 1% increase on an as-reported basis and a 2% rise on a foreign exchange-neutral basis compared to the same period last year.
This performance underscores eBay’s strategic focus on innovation and targeted investments, which have been instrumental in driving momentum across its marketplace.
The GMV for the quarter stood at $18.8 billion, reflecting a nearly 2% increase year-over-year. This growth marks the fourth consecutive quarter of positive GMV expansion, highlighting eBay’s ability to navigate challenging market conditions effectively.
CEO Jamie Iannone attributed this success to the company’s emphasis on key product categories and geographic investments, alongside the integration of AI-powered features designed to enhance the efficiency and user experience of its platform.
Notably, eBay’s earnings per share (EPS) saw a substantial increase, with GAAP EPS reaching $1.06 and non-GAAP EPS at $1.38, surpassing forecasts.
eBay’s financial health is further reinforced by its strong cash flow and capital return strategy. During the first quarter, the company generated $787 million in operating cash flow and $644 million in free cash flow.
It also returned $759 million to shareholders through a combination of $625 million in share repurchases and $134 million in dividends. This commitment to shareholder value is underscored by a 16% growth in dividends over the past year.
Looking ahead, eBay anticipates continued growth, with projected revenue for the second quarter ranging between $2.59 billion and $2.66 billion. The company also expects GMV to fall within the range of $18.6 billion to $19.1 billion.
These projections reflect eBay’s confidence in its strategic initiatives and its ability to adapt to evolving market dynamics. Despite the positive earnings report, eBay’s stock experienced a slight decline in aftermarket trading, reflecting broader market uncertainties and investor caution.
However, the company’s solid financial fundamentals and ongoing innovations position it well for sustained growth in the e-commerce sector.