Ebay (EBAY) Good Q: PayPal Magnficent, Skype A Dog

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Ebay (NASDAQ: EBAY) shares rallied modestly into the close, up 1.7% to $32.09. The company posted first quarter revenue of $2.19 billion, up $424 million from the same period last year. Revenue growth was driven primarily by Marketplaces net transaction revenues, the ongoing expansion at PayPal, Skype and the companys global classifieds business.

Ebay recorded net income on a GAAP basis of $460 million or $0.34 per diluted share, and non-GAAP net income of $562 million or $0.42 per diluted share

Wall St. estimates for the quarter were for $0.40 EPS on $2.11 billion in revenues, and estimates for fiscal Dec-2008 are $1.68 EPS on $8.79 billion in revenues.

PayPal had a strong quarter with $582 million in net revenue, an increase of 32% year-over-year. Net total payment volume (TPV) for the quarter was $14.42 billion, an increase of 34% year-over-year.

Skype is still a dog and Ebay is unlikely to ever get its money back from the acquisition. Skype continued its strong growth trajectory, reporting $126 million in revenue for the quarter, representing 61% year-over-year growth

Douglas A. McIntyre