(Reuters) – EBay Inc surpassed estimates for second-quarter earnings and maintained its annual sales forecast, sending its shares up 4% and allaying some investor concerns over the outlook for online shopping as consumer spending shrinks.
The e-commerce firm’s results contrast that of brick-and-mortar retailers Walmart Inc and Target Corp, which had warned of slowing discretionary spending as inflation-hit Americans save their dollars for gas, food and other essentials.
“Our focus category strategy is working, and payments and advertising are driving further growth,” said EBay Chief Executive Jamie Iannone.
Revenue declined 9% to $2.42 billion in the quarter ended June 30, but came in higher than analysts’ estimates of $2.37 billion, according to IBES data from Refinitiv.
Excluding items, the company earned 99 cents per share, higher than expectations of 89 cents.
For the current quarter, eBay forecast revenue between $2.29 billion and $2.37 billion, also above estimates of $2.30 billion.
(Reporting by Yuvraj Malik in Bengaluru; Editing by Devika Syamnath)
