Shares in eBay to rally on Q3 profits jump

On the Nasdaq last night (October 17th), eBay was stable, but when Wall Street opens later today the online auction site may make further gains.

This is because the company has reported a jump in profits and sales in the third quarter of the year, as more consumers are making use of the ecommerce platform, as well as its payment service PayPal.

Net profit for eBay was higher in the three months to the end of September by 14 per cent year-on-year to $718 million (£445 million), while net revenues rose by 15 per cent to $3.4 billion.

The group has forecast sales of between $385 billion and $4 billion for the fourth quarter of 2012.

Commenting on the results, chief executive John Donahoe stated: "We had a great third quarter across our company."

At close last night, eBay was steady on the Nasdaq at $48.20 per share.

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