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eBay profits lifted by PayPal growth

2010-10-21 12:15:40

eBay logo EBay is in the middle of a three-year turnaround plan

Online marketplace eBay has reported better-than-expected profits, with

earnings boosted by growth in its payment service PayPal.

The firm posted a net profit of $432m ( 273m) in the third quarter, up 22% on

the same period last year.

Revenues rose 1% to $2.25bn, with most of the growth coming from PayPal.

PayPal ended the quarter with 90 million active accounts worldwide, adding one

million new accounts over each of the last three months.

EBay is in the middle of a three-year turnaround plan which is focused on

revamping the eBay.com website.

It forecast stronger revenues of between $2.39bn and $2.49bn in the fourth

quarter.

Shares in the company rose 6% in after-hours trading on the Nasdaq.