Online auction giant eBay yesterday achieved the unthinkable for a dotcom, posting buoyant profits and rising revenues for its first quarter.

Bucking the technology sector downturn, thanks to the increasing volume of internet auctions, the company reported net income of $21.1 million compared to $1.8m for Q1 2000. Excluding charges, earnings came to $30.6m – considerably more than expected by analysts.

Meanwhile, revenues surged 80% from $85.9m last year to $154.1m. eBay predicted that although sequential growth will slow for the remainder of 2001, it expects revenues in the next two quarters to exceed analysts’ expectations by a combined total of $10m–$15m.

Commented chief executive Meg Whitman: “In the face of a difficult economic environment, eBay has seen outstanding growth on all fronts.”

News source: Wall Street Journal