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EBay Inc.’s stock slid 4% in extended trading Tuesday after the online marketplace reported quarterly results that were in line with analysts’ estimates, but declining margins and weak revenue guidance.
The online marketplace
EBAY,
offered fourth-quarter revenue guidance of $2.47 billion to $2.53 billion that fell short of analysts’ estimates, in part because of competition from Amazon.com Inc.
AMZN,
and others. FactSet analysts are projecting $2.6 billion.
For the just-completed quarter, eBay reported fiscal third-quarter net income of $545 million, or $1.03 a share, compared with net income of $552 million, or $1 a share, in the year-ago quarter.
Net revenue was $2.5 billion, compared with $2.38 billion a year ago.
Analysts surveyed by FactSet had expected on average net earnings of $1 a share on revenue of $2.5 billion.
“In the face of macroeconomic uncertainty, we continue to make meaningful progress against our ambitious vision to reinvent the future of ecommerce for enthusiasts,” Chief Executive Jamie Iannone said in a statement announcing the numbers.
Shares of eBay have dipped 1.7% this year, while the broader S&P 500 index
SPX
has increased 14%.
