Ina Steiner EcommerceBytes Blog
News and insight focusing on ecommerce.
by Ina Steiner, Editor of EcommerceBytes.com
Tue Jan 8 2019 22:36:58

eBay Will Report Fourth Quarter Financial Results in 3 Weeks

By: Ina Steiner

Sponsored Link

You won't have to wait much longer to find out how eBay did during the holiday shopping season and compare it with your own sales. Three weeks from today, on January 29, 2019, eBay will announce fourth-quarter and full-year 2018 results.

During last year's fourth-quarter conference call on January 31, 2018, eBay revealed it had grown Gross Merchandise Volume (GMV) a mere 7% in Q4 2017 compared to Q4 2016. Things didn't get any better for subsequent quarters - eBay grew GMV 7% in the first 2 quarters of 2018 and by 5% in the third quarter, all on an FX-neutral basis.

During last January's Q4 earnings call, eBay also announced it would become a payments intermediary.

eBay began rolling out Managed Payments (MP) in July of 2018, but was severely restricted by operating agreements it had entered into with PayPal in 2015 in terms of how much GMV it could process and in which geographic markets as it goes through the multi-year transition.

But the biggest surprise about eBay MP actually came in July when eBay revealed its new payments processing system would exclude PayPal for the first year, making it unappealing to many sellers. 

In a New Year's Day podcast a week ago, eBay executives referred to the "feature gaps" in Managed Payments and said sellers had processed close to $40 million of revenue through MP since its launch. "This is the start of a long journey and we've been super clear about that," eBay's Bob Kupbens said.

During this month's post-earnings call with Wall Street analysts on the 29th, we expect eBay to address Managed Payments.

Analysts may also be looking for management discussion of eBay's growth rate, its "take rate," macroeconomic and international issues (the national and global economy, political issues, international exchange rates, China trade tariffs, India regulation, Brexit), and eBay's progress when it comes to structured data and SEO.

They may also be looking for management to discuss technology issues and the company's focus on Flash Sale promotions for buyers in 2018 vs. seller promotions.

In announcing third-quarter results on October 30th, eBay CEO Devin Wenig signaled he was pinning his hopes on Payments and Advertising to grow revenue - tune in on the 29th to see what progress he made.



Comments (16) | Leave Comment | Permalink

Readers Comments

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: ebayout This user has validated their user name.

Wed Jan 9 02:03:16 2019

This will be the hardest test yet of keeping a straight face.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: The End

Wed Jan 9 05:33:59 2019

Hide the rope and cyanide.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: Rexford

Wed Jan 9 06:49:24 2019

eBay's "take rate"

Now there are two words that are a mouthful.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: Rexford

Wed Jan 9 06:53:55 2019

Note where Wenig's focus is: Payments and Advertising to grow revenue.

Since we see little advertising of eBay on television or radio I am assuming that he is referring to the ad revenue generated from plastering ads on the site and sending potential buyers offsite.

Wouldn't it be great if the CEO of AN ECOMMERCE COMPANY actually focused on growing revenue from marketplace sales?  Should that not be front and center? The main focus?

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: NoMoreEbay

Wed Jan 9 10:07:51 2019

I'm waiting for the quarter after the pull-out of the Global Postal Treaty is complete. When China can no longer afford to ship to the USA, Wenig is going to lose about 50 million of his BFFs and millions in sales to go along with it.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: CanBrit

Wed Jan 9 12:22:18 2019

@Rexford

Advertising also includes the horrible Promoted Listings where sellers get to pour more and more money in the hopes they get seen a little more. Thievery is what it is.

If you look at the desperation during the the holiday season, many sellers saying it was a complete disaster, the flash sales, the eBay Bucks, they were working overtime to get every last nickel. I don't think it worked.

They have far too long yet again to cook the books. End of January???

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: ebayout This user has validated their user name.

Wed Jan 9 15:11:51 2019

I have a precise idea what percent of ebay revenue comes from auction fees, but I'd guess at 80%.
Given that, I wish that a shareholder at some point will confront Wenig on a simple financial point: what is eBay's total revenue from all the payment processors?
That is REAL money...not that trumped up GMV number they gloat over.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: Iwishiwaskidding This user has validated their user name.

Wed Jan 9 16:29:39 2019

Ebay has so many services to offer.  Why are they focusing on charging people for creating more issues and more work?  M.p. is just added running around for sellers, add this account, move money back into paypal for shipping, try to reconcile it all.  Promoted listings is paying ebay to do its original job of correctly advertising listings.  Hopefully shareholders see the problem and call them on it.  

My ebay bucks for the quarter is under $3, first time in YEARS I spent so little on my favorite old marketplace.  Its becoming hard to find things, auto search narrows out too much and catelog makes it hard, once found, to sort outvwhat it is you are buying, a part, a set, a whole but single item... too much.  

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: eastwestphoto This user has validated their user name.
Web Site

Thu Jan 10 09:46:42 2019

If eBay fails to accept PayPal there business will fail. Already there are too many times when eBay does not send you a sales notice but PayPal does so if we have to rely on eBay for 100% notification we're in deep trouble eBay has so many glitches in their system that their own system can put them at a business

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: pace306 This user has validated their user name.

Thu Jan 10 11:06:28 2019

Exactly how many lawyer DOES IT TAKE - to cook the books, and how long does it take ??? (longer then 3 weeks?)

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: comments This user has validated their user name.

Fri Jan 11 10:01:29 2019

I am hoping ebay reports a great Q4. The sales and promotions they offered gave us a ton of sales that ultimately cleaned out some stale stock and replaced it with fresh stuff. A big win for everyone last quarter.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: bitbybit

Sat Jan 12 03:18:37 2019

"A big win for everyone last quarter."

Gee I didn't think there was anybody still left. Please close the door on the way out.

 

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

by: ebayout This user has validated their user name.

Sat Jan 12 11:54:27 2019

@comments..
Define "tons"...100? 1,000? 10,000?
What was your avg selling price?
What was your avg net profit per item?
What is your market?
Sounds like you've found the sweet spot.

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: toolguy

Sat Jan 12 11:56:46 2019

@pace306

"Cooking the Books"

eBay's been in business over 20 years!

They no longer cook the books, they sautée the numbers. . . . .

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: bitbybit

Sat Jan 12 13:52:18 2019

they sautée the numbers. . . . .

and add fava beans

Perminate Link for eBay Will Report Fourth Quarter Financial Results in 3 Weeks   eBay Will Report Fourth Quarter Financial Results in 3 Weeks

This user has validated their user name. by: iheartjacksparrow

Sun Jan 13 11:00:56 2019

toolguy writes: "[T]hey sautee [sic] the numbers."

The definition of saute is to fry quickly in hot fat. For eBay, it's more like hot air.



Login is required to post comments.
To sign in to leave a comment using your AB Verify User Name, fill in the form below. If you have not yet signed up for AB Verify, or if you'd like more information, go to the Registration Page
.

Login for AB Verify
Be sure and use your email address and password to log in.

 
Email:
Password:
 
 Forgot Your Password?
 Even though you are signed in with the AuctionBytes Blog, you will have to sign in to the EcommerceBytes blog. But you can sign in with your existing AB Verify info.