eBay grows sales and customer numbers in busy Q3 for wider business

Online marketplace eBay has reported a 6% year-on-year increase in revenue for the three months to 30 September 2018, during a third quarter that also saw the business announce several new initiatives.

Quarter-three revenue was $2.6 billion, supported in the main by a 5% increase in gross merchandise volume (GMV). During the trading period, eBay delivered GAAP net income from continuing operations of $720 million, and grew active buyers by 4% across its platforms to a total of 177 million.

Away from the top-line numbers, eBay has announced a number of new programmes and made some significant strategic decisions in recent months.

For sellers, eBay and Square Capital announced a partnership that allows sellers on the eCommerce platform in the US to access up to $100,000 in funding to help them grow their businesses.

Meanwhile, for its developer community, eBay introduced new application programming interfaces that allow developers to now incorporate eBay features such as image search, machine translation and marketplace feeds on to third-party platforms.

In addition, last month, eBay rolled out its new payments experience in the US and it said this has intermediated $38 million of GMV thus far. Following the recent decision to introduce Adyen, replacing former sister company PayPal as the core payments partner, eBay has also started accepting Apple Pay.

In the third quarter, eBay also completed the exit of its equity investment in Flipkart, as part of the Indian business's sale to Walmart in May. The deal represented net proceeds of nearly $1 billion, and eBay has now officially ended its strategic relationship with Flipkart.

More recently, eBay also announced its intent to acquire Motors.co.uk, a UK-based classified adverts website. By combining the inventory, customer relationships and traffic available on Gumtree UK, eBay Motors UK and Motors.co.uk, eBay expects to help UK car dealers increase their leads and bring buyers more choice and value.

Devin Wenig, president and CEO of eBay, commented: “This quarter we continued to make foundational investments to improve the long-term competitiveness of our marketplace while setting the stage for significant growth opportunities.

"We will continue to innovate the customer experience while executing our growth initiatives in payments and advertising to position eBay for future success.”

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