eBay Inc. (NASDAQ:EBAY) Q3 2023 Earnings Call Transcript

Jamie Iannone: Yeah Deepak, the only real couponing and promotion stuff we do, we do it in conjunction with our sellers, where they are kind of funding those coupons. And that does work, and that’s in partnership with our sellers. We sometimes also do that with our external promotional listings products that we’ve been talking about, one of our new ad products. But we really moved away from the couponing that was unhealthy that we did back in 2019. And we have no plans to reintroduce that type of couponing because it wasn’t driving the type of ROI that we wanted. The bigger point for eBay overall has been the shift in strategy to focus on used, non-new in season and refurbished. Because when customers face these inflationary environments, they’re continuing to look at eBay for better value.

Our refurbished business is up double digits, because people are getting like-new products for 40% off. Our used business is growing faster than our new business, because of the demand that people see and the values that they can get on eBay. So we just did a survey, and we found that 90% of consumers that responded to the survey said that they purchased pre-loved goods on eBay in the past year. So our play on value is really the new strategy of what we’re going after of driving those businesses, and that’s what’s resonating with our customers. Steve, do you want to talk about the cash implications of taxes?

Steve Priest: Yeah, obviously we talked about the free cash flow dynamics and the timing of the cash payments of ‘23 impacted by the California State Disaster Tax Relief, which has shifted our cash tax payments to October versus that’s being paid during Q2, Q3, and that’s really the reference point we were talking about. We don’t get into sort of forecasting buybacks on a quarter-to-quarter basis. Really pleased with the continued momentum we’ve got on that at around 125%, and that’s really an average over the cycle that we talked about. But we’re bang on track and happy with where we are.

Operator: Thank you, ladies and gentlemen. We will conclude today’s conference call. Thank you for participating. You may now disconnect.