Paypal accelerates Ebay growth

Ebay has achieved a 16% increase in revenue for the first quarter of 2011 compared to the same period last year and believes Paypal has aided growth. Net revenues for the quarter were $2.546billion with income up by 20% to $476 million.

Ebay's president and CEO, John Donahue said: “In the first quarter, PayPal continued to drive strong growth globally, Ebay sharply accelerated growth and we announced several acquisitions that we believe will enhance our leadership and innovation in commerce and payments. The year is off to a strong start.”

Paypal grew active registered accounts 16% year over year and has added roughly one million active accounts per month in six consecutive quarters.

PayPal’s net total payment volume grew 28% to $27.4 billion in the first quarter of 2011 compared to the same period of last year, driven primarily by strong 38% year-on-year growth in its Merchant Services business across global markets, increased merchant adoption and greater usage by customers.

The company’s Marketplaces business continued to deliver improved performance during the first quarter of 2011. Gross merchandise volume excluding vehicles increased by 8% year-on-year to $14.5 billion. Worldwide, active users increased 5% year-on-year to 95.9 million, with growth in North America, the UK, Germany and Australia.