eBay grew Gross Merchandise Volume 21% in the fourth quarter to $26.6 billion in the fourth quarter, year-over-year. It grew revenue 28% during the same period to $2.9 billion.
Interestingly eBay plowed the proceeds of the sale of its business units not back into the company coffers, but to shareholders through share buybacks totaling $5.1 billion in 2020, as well as paying $447 million in cash dividends.
In February of 2020, it sold StubHub for $4.05 billion in cash, and in June it announced it was selling eBay Classifieds Group for $2.5 billion in cash and approximately 540 million Adevinta shares.
Today, it announced the eBay Board of Directors had expanded share repurchase authorization by an additional $4 billion and declared a quarterly dividend of $0.18 per share, a 13% increase from the prior quarterly dividend.
In Q4, eBay said over 38% of global on-platform volume was processed through Managed Payments, with over 50% of the payments migration completed in the US.
eBay exited the quarter with over 1 million sellers migrated to its payments program globally.
eBay Promoted Listings generated over $215 million of revenue in Q4, up 60% on an as-reported basis and up 57% on an FX-Neutral basis. eBay’s total advertising revenue reached a new milestone in 2020, passing $1 billion in revenue for the year.
eBay announced full-year 2020 revenue was $10.3 billion, up 19% on an as-reported basis and up 20% on an FX-Neutral basis; and GMV was $100.0 billion, up 17% on both an as-reported basis and an FX-Neutral basis.
eBay CEO Jamie Iannone was quoted in Wednesday’s earnings press release: “I am proud eBay was able to be there for our buyers, sellers and community, especially in the face of a global pandemic. We finished the year with strong financial results, but what inspires me most is the support we’ve been able to extend to small businesses – providing them with tools, resources and access to millions of buyers globally. We will continue to invest in product and technology in order to deliver the best marketplace in the world for our customers.”
You can find the full press release on the eBay corporate website.