eBay Inc. Reports First Quarter 2026 Results

• Revenue of $3.1 billion, up 19% on an as-reported basis and up 17% on an FX-Neutral basis
• Gross Merchandise Volume ("GMV") of $22.2 billion, up 18% on an as-reported basis and up 14% on an FX-Neutral basis
• GAAP and Non-GAAP earnings per diluted share of $1.12 and $1.66, respectively, on a continuing operations basis
• GAAP and Non-GAAP operating margins of 19.8% and 29.4%, respectively
• Returned $639 million to stockholders in Q1, including $500 million of share repurchases and $139 million paid in cash dividends

eBay Inc. (Nasdaq: EBAY), a global commerce leader that connects millions of buyers and sellers around the world, today reported financial results for its first quarter ended March 31, 2026.

"eBay's first quarter results marked a strong start to the year," said Jamie Iannone, Chief Executive Officer at eBay. "We accelerated GMV growth and delivered performance ahead of expectations. Our Focus Categories, C2C and recommerce strategic priorities are driving broad-based momentum, and strengthening our position as the marketplace of choice for enthusiasts."

"Our strong first quarter results, characterized by robust GMV and revenue growth, along with healthy earnings, reflect the powerful operating leverage inherent in our business," said Peggy Alford, Chief Financial Officer at eBay. "We remain committed to disciplined execution of our strategic priorities while continuing to allocate capital thoughtfully to drive long-term value and significant returns for our shareholders."

First Quarter 2026 Business Highlights

• eBay announced a definitive agreement to acquire Depop, a leading consumer-to-consumer ("C2C") fashion marketplace, from Etsy, which would deepen eBay's reach with younger, fashion-forward consumers and expand its presence in one of the most dynamic areas of resale.

• The company expanded eBay Live, its interactive live-stream shopping experience, to France, Italy and Canada, growing seller reach and deepening buyer engagement.

• eBay launched "The 30/30 Collection" on eBay Live, a Pokémon Day auction that showcased 30 years of iconic cards and memorabilia from top sellers, boosting engagement in one of the marketplace's most popular Focus Categories.

• Goldin, an eBay company, reached an all-time quarterly GMV record in the first quarter, facilitated by a record-breaking $16.5 million sale of a PSA 10 Pikachu Illustrator card.

• eBay hosted several Bay Area activations for football's biggest game, including the immersive eBay End Zone pop-up, celebrity-driven eBay Live shopping events and a community watch party. The events showcased eBay's unique inventory and relevance across collectibles, fashion and sports memorabilia.

• eBay's AI-powered card scanning feature, which surfaces historical pricing and population data from a single photo, expanded to include the company's top five collectible card game genres, and surpassed 30 million cumulative scans.

• eBay released "The NYC Edit," an online style guide highlighting what New Yorkers are buying and selling on eBay. The curated storefronts allowed buyers to shop directly from influencers' closets, and was accompanied by a three-day in-person resale experience held in April.

• The company collaborated with Vogue on the Vogue Vintage Market pop-ups in New York, London and Berlin, featuring a curated selection of premium vintage pieces handpicked from eBay by leading voices in fashion. Select items were auctioned via eBay Live where customers around the world could participate and bid in real time.

• eBay announced a new partnership with Meta for the Facebook affiliate program, allowing creators to feature eBay's inventory directly within their content, and helping sellers reach new, engaged buyers through social commerce.

• eBay expanded its financial services offerings in the U.K. by partnering with Liberis to add Flexible Growth Financing to its Seller Capital program, and introduced Pay by Bank at checkout through a partnership with TrueLayer, enabling instant, secure payments.

• The company announced the appointment of Brian Sharples to its Board of Directors. Mr. Sharples serves as Board Chair of GoDaddy, Inc., and previously co-founded and served as CEO and Chairman of HomeAway, Inc.

Impact

• eBay released its inaugural Climate Transition Plan, a company-wide roadmap to reach net-zero greenhouse gas emissions by 2045. The plan details how eBay is well-positioned to drive sustainable commerce at scale, and as a result, create enduring value for customers, communities and the planet.

• eBay for Charity enabled buyers and sellers to raise nearly $60 million worldwide in the first quarter.

• eBay received numerous awards, including recognition from Fortune as one of America's Most Innovative Companies 2026, from Newsweek as one of America's Greenest Companies 2026, and from TIME as one of America's Most Iconic Companies 2026.

First Quarter 2026 Financial Highlights

• Revenue was $3.1 billion, up 19% on an as-reported basis and up 17% on a foreign exchange ("FX") neutral basis.
  
  
• GMV was $22.2 billion, up 18% on an as-reported basis and up 14% on an FX-Neutral basis.
  
  
• GAAP net income from continuing operations was $512 million, or $1.12 per diluted share.
  
  
• Non-GAAP net income from continuing operations was $760 million, or $1.66 per diluted share.
  
  
• GAAP and Non-GAAP operating margins were 19.8% and 29.4%, respectively.
  
  
• Generated $970 million of operating cash flow and $898 million of free cash flow from continuing operations.
  
  
• Returned $639 million to stockholders, including $500 million of share repurchases and $139 million paid in cash dividends.

Other Selected Financial and Operational Results

• Advertising revenue – The company's total advertising offerings generated $581 million of revenue in the first quarter of 2026, representing 2.6% of GMV. First-party advertising products on the eBay platform delivered $555 million of revenue in the first quarter of 2026, up 33% on an as-reported basis and up 28% on an FX-Neutral basis.

• Operating margin – GAAP operating margin decreased to 19.8% for the first quarter of 2026, compared to 23.6% for the same period last year. Non-GAAP operating margin decreased to 29.4% for the first quarter of 2026, compared to 29.6% for the same period last year.

• Income tax rate – The GAAP effective tax rate for continuing operations for the first quarter of 2026 was 17.1%, compared to 20.4% for the first quarter of 2025. The non-GAAP effective tax rate for continuing operations for the first quarter of 2026 was 17.5%(1).

• Cash flow – The company generated $970 million of operating cash flow and $898 million of free cash flow during the first quarter of 2026 from continuing operations.

• Capital returns – The company repurchased $500 million of its common stock, or approximately 6 million shares, in the first quarter of 2026. The company's total repurchase authorization remaining as of March 31, 2026 was approximately $2.3 billion. The company also paid cash dividends of $139 million during the first quarter of 2026.

• Cash and cash equivalents and non-equity investments – The company's cash and cash equivalents and non-equity investments portfolio totaled $5.1 billion as of March 31, 2026.

(1) We are using a non-GAAP effective tax rate of 17.5% in 2026 for evaluating our operating results, up from 16.5% in 2025. This rate could continue to change for various reasons including significant changes in our geographic earnings mix or fundamental tax law changes in major jurisdictions in which we operate.

Business Outlook

eBay is providing the following guidance for continuing operations for the second quarter 2026.

Dividend Declaration

eBay's Audit Committee declared a second quarter 2026 cash dividend of $0.31 per share of the company's common stock. The dividend is payable on June 12, 2026 to stockholders of record as of May 29, 2026.

Definitive Agreement to Acquire Depop, Inc.

In February 2026, eBay Inc. and Etsy, Inc. announced that they entered into a definitive agreement for eBay to acquire Depop, Inc. for approximately $1.2 billion in cash, subject to certain purchase price adjustments. The pending acquisition is now expected to close by the end of the third quarter of 2026, subject to the satisfaction of certain closing conditions and receipt of required regulatory approvals. eBay and Etsy have received regulatory clearances in the United States and Germany, and reviews are in progress in other markets, including the United Kingdom and Australia.

Source : eBay

Image : George Sheldon / Shutterstock / 769619905 

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