eBay (EBAY) Q1 2026 earnings summary

Executive summary

• Q1 2026 delivered strong results, with revenue reaching $3.1 billion (up 19% as reported, 17% FX-neutral) and GMV at $22.2 billion (up 18% as reported, 14% FX-neutral), exceeding guidance despite macroeconomic and geopolitical uncertainty.

• Strategic priorities—Focus Categories, C2C, and Recommerce—now comprise ~70% of GMV and grew in the high teens year-over-year, driving broad-based momentum across all major categories and geographies.

• Non-GAAP operating income was $907 million (up 18% year-over-year); non-GAAP EPS reached $1.66 (up 21%), while GAAP net income was $512 million ($1.12 per diluted share).

• Investments in AI, live commerce, and shipping solutions are driving engagement, operational efficiency, and growth.

• Announced agreement to acquire Depop for $1.2 billion, expected to close by Q3 2026, expanding C2C fashion reach.

Financial highlights

• GMV was $22.2 billion, up 18% as reported and 14% FX-neutral; revenue grew 19% as reported and 17% FX-neutral to $3.09 billion.

• Non-GAAP operating margin was 29.4%; GAAP operating margin was 19.8%, down from 23.6% year-over-year.

• Free cash flow was $898 million; operating cash flow reached $970 million.

• Take rate was 13.9%, stable year-over-year; advertising revenue grew 27–31% to $581 million.

• Returned $639 million to shareholders via $500 million in share repurchases and $139 million in dividends.

Outlook and guidance

• Q2 2026 GMV guidance: $21.3–$21.7 billion (8–11% growth); revenue: $2.97–$3.03 billion (8–11% growth); non-GAAP EPS: $1.46–$1.51.

• Full-year 2026 GMV growth expected at 7–7.5% FX-neutral; revenue growth in line or slightly ahead; non-GAAP operating income growth 9–11%.

• Depop acquisition expected to close by Q3 2026, contributing ~1 point to GMV growth but diluting EPS growth by low single digits.

• Declared Q2 2026 dividend of $0.31 per share, payable June 12, 2026.

• Management expects continued growth in GMV and advertising revenues, with ongoing investments in technology and marketing.