Global e-commerce and online payments giant eBay has today reported a strong increase in sales during the second quarter, but income has been hit by its purchase of GSI Commerce.
Net revenues for the three months ending June 30th 2011, totalled $2.76 billion (£1.71 billion) an improvement of 25 per cent on the same period last year.
The company’s acquisition of electronic commerce firm GSI for $2.4 billion announced in March has had a significant effect on net income however, falling 31 per cent year-on-year to $283 million.
Earnings per diluted share also dropped in the quarter, down to $0.22 per share compared to $0.31 per cent in 2010.
John Donahoe, eBay President and CEO, said: “Second quarter revenue and earnings were strong, with PayPal surpassing 100 million active registered accounts and reporting its first billion-dollar revenue quarter, and eBay growth in the US accelerating.
“We also strengthened our portfolio in Q2 with acquisitions that we believe will more broadly position us to enable the future of commerce.
“We will partner with retailers of all sizes to help them grow in a rapidly shifting, technology-driven multichannel commerce environment, and we will help consumers shop and pay anytime, anywhere, any way.”
International trading grew 19 per cent over the period in constant currencies and its European operations, including in the UK, were reported to be showing steady growth.
Business improved considerably in Korea during Q2, whilst revenues in its domestic US market rose 14 per cent to $5.49 billion.