eBay Inc. stock research
FY2024 Q1
eBay (EBAY) Gross Margin — Quarter Ended Mar 31, 2024
In this quarter, revenue and cost of revenue were essentially flat compared to the preceding quarter, while gross profit also remained stable, resulting in a slightly improved gross margin. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was flat, and gross margin improved.
Gross margin takeaway
Quarter ended Mar 31, 2024 · FY2024 Q1
In this quarter, revenue and cost of revenue were essentially flat compared to the preceding quarter, while gross profit also remained stable, resulting in a slightly improved gross margin. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was flat, and gross margin improved.
- Gross margin improved slightly quarter over quarter and more notably year over year, driven primarily by gross profit growing faster than cost of revenue. The strongest observable driver is the effective leverage of revenue growth against a stable cost of revenue base.
- Quarter over quarter, revenue was unchanged, cost of revenue was slightly lower, and gross profit was unchanged, leading to a small improvement in gross margin. Year over year, revenue and gross profit were higher, cost of revenue was the same, and gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
72.6%
Gross profit
$1.9B
Revenue
$2.6B
Cost of revenue
$700.0M
Quarter-over-quarter change
+0.3 pts
Year-over-year change
+0.5 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jun 30, 2023 | $2.5B | $1.8B | $718.0M | 71.7% |
| Sep 30, 2023 | $2.5B | $1.8B | $705.0M | 71.8% |
| Dec 31, 2023 | $2.6B | $1.9B | $710.0M | 72.3% |
| Mar 31, 2024 | $2.6B | $1.9B | $700.0M | 72.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2023
+0.3 pts
Year-over-year change
Mar 31, 2023
+0.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin improved slightly quarter over quarter and more notably year over year, driven primarily by gross profit growing faster than cost of revenue. The strongest observable driver is the effective leverage of revenue growth against a stable cost of revenue base.
Quarter over quarter, revenue was unchanged, cost of revenue was slightly lower, and gross profit was unchanged, leading to a small improvement in gross margin. Year over year, revenue and gross profit were higher, cost of revenue was the same, and gross margin improved.
Monitor whether the stable cost of revenue base can be maintained as revenue continues to grow or changes direction.