According to reports Online shopping giant eBay Inc. (NASDAQ:EBAY) stock surged almost 7% in after-hours trading Wednesday after the company detailed growth in the holiday-shopping season.
The e-shopping platform posted net income of almost $6 billion, or $5.31 a share, aided mainly by the $4.6 billion income tax benefit and $800 million from the sale of its holdings in MercadoLibre Inc.
Meanwhile SAN JOSE, CA-based eBay Inc. (NASDAQ:EBAY) said that notwithstanding from those one-time advances, and after adjusting for stock-based payment and other factors, it had profit of 54 cents a share on revenue of $2.4 billion for the fourth quarter.
Forecasters on average predicted eBay to post adjusted earnings of 53 cents a share, up from 50 cents year over year, on revenue of $2.4 billion, according to FactSet.
“Q4 was a record quarter highlighted by solid performance in our eBay business,” eBay Chief Executive Devin Wenig said in the announcement.
“During the holiday season, eBay was one of the top consumer shopping destinations in the world and the second most visited eCommerce site in the U.S.”
Furthermore eBay (EBAY) had expectations that it would have adjusted earnings of 46 cents to 48 cents a share in the first quarter of 2017 and $1.98 to $2.03 for the full year, both lower than average analyst predictions, according to FactSet.
eBay (NASDAQ:EBAY) stock, which closed with a 0.8% gain at $30.23, surged to about $32.06 on early trading this morning.