eBay Inc. stock research
FY2026 Q1
eBay (EBAY) Gross Margin — Quarter Ended Mar 31, 2026
Revenue increased compared to the prior quarter and the same quarter last year. Gross profit also rose, and cost of revenue was lower than the previous quarter but higher than a year ago, leading to an improved gross margin relative to both periods.
Gross margin takeaway
Quarter ended Mar 31, 2026 · FY2026 Q1
Revenue increased compared to the prior quarter and the same quarter last year. Gross profit also rose, and cost of revenue was lower than the previous quarter but higher than a year ago, leading to an improved gross margin relative to both periods.
- The strongest observable margin driver was the change in cost of revenue relative to revenue. Sequentially, cost of revenue decreased while revenue increased, and compared to a year ago, cost of revenue grew at a slower pace than revenue.
- The gross margin improved compared to the immediately preceding quarter and was higher than the same quarter one year earlier.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
74.0%
Gross profit
$2.3B
Revenue
$3.1B
Cost of revenue
$802.0M
Quarter-over-quarter change
+2.7 pts
Year-over-year change
+1.0 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, 2025 | $2.7B | $2.0B | $776.0M | 71.6% |
| Sep 30, 2025 | $2.8B | $2.0B | $821.0M | 70.9% |
| Dec 31, 2025 | $3.0B | $2.1B | $849.0M | 71.4% |
| Mar 31, 2026 | $3.1B | $2.3B | $802.0M | 74.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2025
+2.7 pts
Year-over-year change
Mar 31, 2025
+1.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was the change in cost of revenue relative to revenue. Sequentially, cost of revenue decreased while revenue increased, and compared to a year ago, cost of revenue grew at a slower pace than revenue.
The gross margin improved compared to the immediately preceding quarter and was higher than the same quarter one year earlier.
Monitor the trend of cost of revenue as a proportion of revenue.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| eBay Inc. (EBAY) | 74.0% |