eBay Inc. (EBAY)

Sector: Consumer Discretionary|Industry: Internet Retail|Market Cap: $30.71B|Employees: 12.3K


eBay Inc. is a global commerce leader that connects buyers and sellers through its online marketplace platform, enabling transactions for a wide variety of goods. The company's primary revenue streams are derived from fees collected on paid sales, payment processing, and first-party advertising. eBay operates in over 190 markets, with a strong presence in the United States, the United Kingdom, Germany, and Australia.

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Business Summary

eBay Inc. is a global commerce leader that connects buyers and sellers through its Marketplace platforms. The company's technology empowers millions of users in over 190 markets, facilitating the discovery of great value and unique selection. eBay's business model is designed to succeed when its sellers are successful, earning revenue primarily through fees on paid sales, including payment processing and first-party advertising. The company's Marketplace platforms include its online marketplace at www.ebay.com, localized counterparts, off-platform businesses in Japan and the United States, and a suite of mobile apps. In 2023, eBay enabled more than $73 billion of gross merchandise volume.

Key Statistics

  • Employees: 12,300 (as of December 31, 2023)
  • Geographic Footprint: More than 190 markets
  • Headquarters: San Jose, California
  • Founded: 1995
  • Revenue: $10.1 billion (FY2023)
  • Key Subsidiaries/Brands: Marketplace platforms, off-platform businesses in Japan and the United States

Leadership

  • CEO: Jamie Iannone
  • CFO: Steve Priest

Key Financial Metrics

  • Annual Revenue: $10.1 billion (FY2023)
  • Net Income: $2.8 billion (FY2023)
  • Total Assets: $21.6 billion (as of December 31, 2023)
  • Employees: 12,300 (as of December 31, 2023)
  • Key Financial Highlights: Net revenues increased 3% year-over-year, operating margin decreased to 19.2%, and cash flow from operating activities was $2.4 billion.

Products and Services

eBay's main product categories include:

  • Parts & Accessories: Automotive parts and accessories.
  • Collectibles: A wide range of collectible items.
  • Fashion: Clothing, shoes, and accessories.
  • Electronics: Consumer electronics and gadgets.
  • Home & Garden: Products for the home and garden.

eBay also offers Promoted Listings products to help sellers improve conversion and drive velocity, and provides managed payments for all transactions on its Marketplace platforms.

Key Business Segments

eBay operates primarily through one reportable segment, Marketplace, which includes its online marketplace, localized counterparts, off-platform businesses in Japan and the United States, and mobile apps. Revenue is primarily generated through fees collected on paid sales, payment processing, and first-party advertising.

Business Strategy

eBay's strategy is to leverage technology to enhance the marketplace experience for customers and drive growth in Gross Merchandise Volume (GMV). The company focuses on building compelling category experiences, becoming the partner of choice for sellers, and strengthening trust with buyers. Key initiatives include expanding Promoted Listings offerings, the eBay International Shipping program, and the Authenticity Guarantee service. eBay is also focused on achieving 100% renewable energy in its operations and data centers by 2025 and has set Science Based Targets for all three scopes of its emissions.

Industry Context

eBay operates in a highly competitive ecommerce market, facing competition from online and offline retailers, distributors, liquidators, auctioneers, and other commerce participants. Key competitors include Amazon, Alibaba, Google, and other major platform businesses. eBay competes on the basis of price, product selection, services, and global scale.

Risk Factors

  • Competition: Substantial and increasingly intense competition in ecommerce may harm eBay's business.
  • Foreign Exchange: Fluctuations in foreign currency exchange rates could negatively impact financial results.
  • Technology: Inability to keep pace with rapid technological developments or continue to innovate could decline revenues.
  • Security: Exposure to online security risks, including security breaches and cyberattacks.
  • Regulation: Extensive and increasing government regulation and oversight could adversely impact business.

Last Updated

2024-02-28

(Generated from latest 10-K filing)