EBay Beats Profit Expectations, Will Separate PayPal On July 17

EBay Inc. reported second-quarter net profit declined to $83 million, or 7 cents a share, from $676 million, or 53 cents a share, in the same period a year ago. Excluding non-recurring items, such as results from discontinued operations, adjusted earnings per share came in at 76 cents, above the FactSet consensus of 72 cents. Revenue rose to $4.38 billion from $4.1 billion, missing the FactSet consensus of $4.49 billion. Total payment volume grew 20% to $65.94 billion, above the FactSet consensus of $63.7 billion, while gross merchandise volume declined 2% to $20.06 billion. The e-commerce company said it added $1 billion to its stock repurchase program. EBay said it will separate its payment services business PayPal on July 17. For the full year, eBay expects standalone revenue to rise 3% to 5%, while PayPal Holdings revenue is projected to grow 15% to 18%. EBay's stock climbed 1.4% in premarket trade. It has run up 11% in the past three months, while the S&P 500 has gained 0.1%.