The online payment service PayPal grew significantly at the end of the year, despite inflation and recession fears. In the fourth quarter, revenues rose seven percent year over year to $7.4 billion (6.9 billion euros), the former eBay subsidiary announced Thursday evening in San Jose.
Net income increased 15 percent to $921 million. The result exceeded Wall Street experts’ expectations. The profit forecast for the current financial year also surprised positively. That was well received by investors and the share price shot up more than five percent in aftermarket trading.
At the same time, PayPal announced the resignation of CEO Dan Schulman at the end of the year. It is not yet clear who will succeed him. Schulman holds the most senior position since PayPal’s 2015 spin-off of online trading platform eBay.
Paypal announced last week that it would lay off about seven percent of its employees — about 2,000 employees — due to the difficult economic climate. A number of companies in the tech industry – including Facebook’s parent company Meta, Amazon, Twitter and Alphabet – have made major layoffs in recent weeks and months.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
