Net revenues increased primarily due to investment in focus categories and a higher take rate driven by the expansion of promoted listings, eBay International Shipping and payment services. This indicates that strategic investments are yielding positive results.

The increase in net revenues was partially offset by a reduction in traffic in most markets resulting from geopolitical events, inflationary pressure, foreign exchange rate volatility, elevated interest rates and lower consumer confidence. This highlights external factors impacting growth.

In February 2024, the Board authorized an incremental $2.0 billion under the stock repurchase program. This indicates confidence in the company's financial position and future prospects.

Cost of net revenues was flat during the three months ended March 31, 2024 compared to the same period in 2023. This suggests effective cost management in core operations.

The decrease in general and administrative expenses during the three months ended March 31, 2024 compared to the same period in 2023 was primarily due to a $51 million decrease in restructuring costs. This indicates progress in streamlining operations.

On January 31, 2024, the DEA, DOJ and the Company entered into a settlement agreement, which fully resolved DOJ's allegations of noncompliance arising under the Controlled Substances Act. Pursuant to the DEA Settlement Agreement, the Company paid $59 million and agreed to implement enhanced processes regarding its monitoring and reporting of listings that violate the Company's policies.

The filing mentions that geopolitical events, inflationary pressure, foreign exchange rate volatility, elevated interest rates, and global economic uncertainty have caused material disruptions in both U.S. and international financial markets and economies. These events may increase borrowing costs and adversely affect the business.

The company is responding to inquiries from the DOJ regarding products sold on the Marketplace platforms alleged to violate certain laws administered by the EPA and DEA. On September 27, 2023, DOJ, on behalf of the EPA, filed a civil complaint against the Company in the U.S. District Court for the Eastern District of New York alleging violations of the Clean Air Act, Federal Insecticide, Fungicide, and Rodenticide Act and the Toxic Substances Control Act.

In connection with the matters described above, the Company has accrued for probable losses of $64 million in the aggregate as of March 31, 2024.

Net revenues continued to outpace GMV during the three months ended March 31, 2024 compared to the same period in 2023 primarily due to the benefit of a higher take rate. While we expect this trend to continue to a lesser extent in 2024, we still believe GMV provides a useful measure of overall volume of paid transactions that flow through the platform in a given period.

Net revenues increased primarily due to the investment in focus categories and a higher take rate driven by the expansion of promoted listings, eBay International Shipping and payment services.

The increase in net revenues was partially offset by a reduction in traffic in most markets resulting from geopolitical events, inflationary pressure, foreign exchange rate volatility, elevated interest rates and lower consumer confidence.

Cost of net revenues was flat during the three months ended March 31, 2024 compared to the same period in 2023. This suggests effective cost management in core operations.

The decrease in general and administrative expenses during the three months ended March 31, 2024 compared to the same period in 2023 was primarily due to a $51 million decrease in restructuring costs. This indicates progress in streamlining operations.

Cost of net revenues was flat during the three months ended March 31, 2024 compared to the same period in 2023 with a $26 million increase related to eBay International Shipping and an $11 million increase in cost of ads products, offset by a $26 million decrease due to the change in our estimate of the useful lives for our servers and networking equipment and an $11 million decrease in payment processing costs.

Product development expenses were flat during the three months ended March 31, 2024 compared to the same period in 2023. We have continued to innovate and modernize the shopping experience across our platforms powered by intelligent computing at scale.

Capitalized internal use and platform development costs were $29 million during the three months ended March 31, 2024 compared to $31 million during the same period in 2023. These costs are primarily reflected as a cost of net revenues when amortized in future periods.

Product development expenses are net of required capitalization of major platform and other product development efforts, including the development and maintenance of our technology platform. Our top technology priorities include the implementation of our strategic plan including payment intermediation capabilities, improved seller tools and buyer experiences.

During the three months ended March 31, 2024, we made cash payments of $453 million related to the purchase of common stock.

In February 2024, our Board authorized an incremental $2.0 billion under our stock repurchase program in addition to the $4.0 billion previously authorized in 2022.

In April 2024, our Board declared a quarterly cash dividend of $0.27 per share of common stock to be paid on June 14, 2024 to stockholders of record as of May 31, 2024.

The filing does not contain any specific information about new or ongoing ESG initiatives. There is only a mention of responding to inquiries from the DOJ regarding products sold on the Marketplace platforms alleged to violate certain laws administered by the EPA and DEA.

The Company has responded to inquiries from the U.S. Department of Justice ("DOJ") regarding products sold on the Marketplace platforms alleged to violate certain laws administered by the Environmental Protection Agency (“EPA”) and, separately, laws administered by the Drug Enforcement Agency (“DEA”).

On January 31, 2024, the DEA, DOJ and the Company entered into a settlement agreement (the "DEA Settlement Agreement”), which fully resolved DOJ's allegations of noncompliance arising under the Controlled Substances Act. Pursuant to the DEA Settlement Agreement, the Company paid $59 million and agreed to implement enhanced processes regarding its monitoring and reporting of listings that violate the Company's policies.

In 2023 and extending into the first quarter of 2024, we experienced reduced traffic in most markets resulting from geopolitical events, inflationary pressure, foreign exchange rate volatility, elevated interest rates and lower consumer confidence, which negatively impacted discretionary consumer spending.

We experienced elevated foreign currency volatility which we expect to continue throughout 2024. Through our hedging programs, we actively monitor foreign currency volatility and attempt to mitigate significant risk.

As shown in the table above, we generate approximately half of our net revenues internationally. Therefore, we are subject to the risks related to conducting business in foreign countries as discussed in "Part I - Item 1A: Risk Factors" of the 2023 Form 10-K.