eBay Announces Q4 and Full '06 Financials
Wednesday, January 24, 2007
Fourth Quarter Net Revenues of $1.7 Billion; Profit up 24%
Calling the fourth quarter "an excellent quarter for eBay, bringing 2006 to a very good close," Meg Whitman, President and CEO of eBay Inc., announced the company's financial results for Q4 and the full financial results for 2006.
eBay reported record consolidated Q4-06 net revenues of $1.7 billion, representing a growth rate of 29% year over year. GAAP operating income was $450 million, an increase of 21% year over year, and represented 26% of net revenues. Excluding stock-based compensation, operating income increased 33% year over year to $525 million, or 30% of net revenues. Non-GAAP operating income in Q4-06 was $575 million, representing a 33.4% operating margin and a 28% year-over-year increase.
Bouyed by demand for hard-to-find game consoles, and bolstered by recent moves to stabilize its core business (not to mention strengthening business in international markets such as Germany and Britain) fourth-quarter revenue rose 29 percent. "That reassured investors worried by three years of slowing revenue growth for the online marketplace," according to Reuters today.
Amid the din of rumors from financial pundits suggesting that 2007 would be the year she is asked to step down, after a 2006 that saw the company's stock plummet, this has got to be encouraging news for Whitman. If the improvements and committments the company announced last week at its annual seller's conference see real results, investors may have renewed faith in a company that has followed through on ehancing its value to its top sellers by making the brand more useful to buyers.
Calling the fourth quarter "an excellent quarter for eBay, bringing 2006 to a very good close," Meg Whitman, President and CEO of eBay Inc., announced the company's financial results for Q4 and the full financial results for 2006.
eBay reported record consolidated Q4-06 net revenues of $1.7 billion, representing a growth rate of 29% year over year. GAAP operating income was $450 million, an increase of 21% year over year, and represented 26% of net revenues. Excluding stock-based compensation, operating income increased 33% year over year to $525 million, or 30% of net revenues. Non-GAAP operating income in Q4-06 was $575 million, representing a 33.4% operating margin and a 28% year-over-year increase.
Bouyed by demand for hard-to-find game consoles, and bolstered by recent moves to stabilize its core business (not to mention strengthening business in international markets such as Germany and Britain) fourth-quarter revenue rose 29 percent. "That reassured investors worried by three years of slowing revenue growth for the online marketplace," according to Reuters today.
Amid the din of rumors from financial pundits suggesting that 2007 would be the year she is asked to step down, after a 2006 that saw the company's stock plummet, this has got to be encouraging news for Whitman. If the improvements and committments the company announced last week at its annual seller's conference see real results, investors may have renewed faith in a company that has followed through on ehancing its value to its top sellers by making the brand more useful to buyers.
posted by Chris and Frank at 7:16 PM
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