eBay Inc. (EBAY)
Q2 2009 Earnings Call Transcript
July 22, 2009 5:00 p.m. ET

Executives

Mark Rowen - Vice President, Investor Relations
John J. Donahoe - President, Chief Executive Officer, & Director
Robert H. Swan - Chief Financial Officer & Senior Vice President - Finance

Analysts

Christa Quarles - Thomas Weisel Partners
Jeffrey Lindsay - Sanford C. Bernstein & Co.
Benjamin Schachter - Broadpoint AmTech
Imran Khan – JPMorgan
Scott Devitt – Morgan Stanley
Mark Mahaney – Citigroup
James Mitchell - Goldman Sachs
Douglas Anmuth - Barclays Capital
Justin Post – Bank of America/Merrill Lynch
Steve Weinstein - Pacific Crest Securities

Presentation

Operator

Good day, everyone, and welcome to eBay''s second quarter 2009 earnings results conference call. This call is being recorded and at this time, I would like to turn the call over to Mark Rowen, Vice President of Investor Relations. Please go ahead, sir.

Mark Rowen

Thank you, operator. Good afternoon. Thank you for joining us and welcome to eBay''s earnings release conference call for the second quarter of 2009. Joining me on today’s call are John Donahoe, our President and Chief Executive Officer; and Bob Swan, our Chief Financial Officer.

We are providing a slide presentation to accompany Bob’s commentary during the call.

This conference call is also being broadcast on the Internet and both the presentation and call are available through the Investor Relations section of the eBay website at investor.ebay.com.

Before we begin, I’d like to remind you that during the course of this conference call we will discuss some non-GAAP measures in talking about our company’s performance. You can find the reconciliation of those measures to the nearest comparable GAAP measures in the slide presentation accompanying this conference call.

In addition, management may make forward-looking statements relating to our future performance that are based on our current expectations, forecasts, and assumptions and involve risks and uncertainties. These statements include, but are not limited to, statements regarding expected financial results for the third quarter of 2009 and anticipated future stability and growth in the Marketplaces business unit.

Our actual results may differ materially from those discussed in this call for a variety of reasons, including but not limited to the impact of recent global economic events and the global economic downturn, foreign exchange rate fluctuations, changes in political, business, and economic conditions, the impact and integration of recent and future acquisitions, our increasing need to grow revenues from existing users in established markets; an increasingly competitive environment for our businesses; the complexity of managing an increasingly large enterprise with a broad range of businesses; our need to manage regulatory tax, IP and litigation risks, including risks specific to PayPal, Bill Me Later, and the financial industry and risks specific to Skype''s technology and to the VoIP industry; and our need to upgrade our technology and customer service infrastructure at reasonable costs while adding new features and maintaining site stability.

You can find more information about factors that could affect our operating results in our most recent Annual Report on Form 10-K and our subsequent quarterly reports on Form 10-Q, available at investor.ebay.com. You should not unduly rely on any forward-looking statements and we assume no obligation to update them.

All information in the presentation is as of July 22, 2009 and we do not intend nor undertake no duty to update this presentation.

And now, I’ll turn the call over to John.

John J. Donahoe

Thank you, Mark and good afternoon, everybody, and welcome to our Q2 earnings call. Our second quarter results were solid. Revenue was almost $2.1 billion with organic growth up slightly over the prior year. Non-GAAP EPS was $0.37.