eBay Inc. stock research
FY2025 Q3
eBay (EBAY) Gross Margin — Quarter Ended Sep 30, 2025
Revenue was higher than both the prior quarter and the same quarter last year, while gross profit was unchanged sequentially and higher year over year. Cost of revenue increased relative to both periods, causing gross margin to weaken.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2025 Q3
Revenue was higher than both the prior quarter and the same quarter last year, while gross profit was unchanged sequentially and higher year over year. Cost of revenue increased relative to both periods, causing gross margin to weaken.
- The shift in the relationship between cost of revenue and revenue was the strongest observable driver: cost of revenue rose faster than revenue, compressing gross margin.
- Compared to the prior quarter, revenue was higher, gross profit was unchanged, cost of revenue was higher, and gross margin weakened. Versus the same quarter a year ago, revenue and gross profit were higher, but cost of revenue was also higher, and gross margin weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
70.9%
Gross profit
$2.0B
Revenue
$2.8B
Cost of revenue
$821.0M
Quarter-over-quarter change
-0.7 pts
Year-over-year change
-0.9 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 |
|---|---|---|---|---|
| Dec 31, 2024 | $2.6B | $1.9B | $718.0M | 72.2% |
| Mar 31, 2025 | $2.6B | $1.9B | $697.0M | 73.0% |
| Jun 30, 2025 | $2.7B | $2.0B | $776.0M | 71.6% |
| Sep 30, 2025 | $2.8B | $2.0B | $821.0M | 70.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
-0.7 pts
Year-over-year change
Sep 30, 2024
-0.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The shift in the relationship between cost of revenue and revenue was the strongest observable driver: cost of revenue rose faster than revenue, compressing gross margin.
Compared to the prior quarter, revenue was higher, gross profit was unchanged, cost of revenue was higher, and gross margin weakened. Versus the same quarter a year ago, revenue and gross profit were higher, but cost of revenue was also higher, and gross margin weakened.
Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters.