EBAY · 10-Q · 2026Q2 · Full report

Operating Expense Trends

EBAY INC · 2026-08-06 · Importance 37 · Surprise 32 · No source text

Total operating expenses increased to $1.626 billion in the three months ended June 30, 2026, from $1.501 billion in 2025, and increased to $3.302 billion for six months from $2.778 billion. Sales and marketing expense rose primarily from $81 million of higher marketing program costs and $21 million of higher employee-related costs in the quarter, with six-month increases of $170 million and $37 million, respectively. General and administrative expense declined in the quarter because $42 million of legal and transaction-related costs and $55 million of 2025 restructuring costs did not recur, but increased for six months due to $53 million of employee-related costs and $50 million of restructuring costs. Transaction losses increased from $31 million of unfavorable buyer and seller fraud and recovery-rate fluctuations and $14 million of higher volume in the quarter, with six-month impacts of $68 million and $32 million, respectively.

Key facts

• Total operating expenses for the three months ended June 30, 2026: $1,626 million; for the three months ended June 30, 2025: $1,501 million. Total operating expenses for the six months ended June 30, 2026: $3,302 million; for six months ended June 30, 2025: $2,778 million. source
• General and administrative expenses decreased in the three months ended June 30, 2026 compared to same period in 2025 primarily due to $42 million of lower legal and transaction related costs and $55 million of restructuring costs recorded in 2025 that did not reoccur, partially offset by $18 million of increased employee-related costs. source
• Cost of net revenues for the three months ended June 30, 2026: $1,763 million (implied by table showing $1,634 for six months? — ensure exact: the text states increase components but table entries truncated). source
• Increase in cost of net revenues for three months ended June 30, 2026 included $44 million in payment processing costs, $20 million of promoted offsite advertising costs and $16 million of data center and site operations costs. source
• For the six months ended June 30, 2026, increases in cost of net revenues included $82 million in payment processing costs, $36 million of promoted offsite advertising costs, $28 million of data center and site operations costs and $20 million due to unfavorable foreign currency movements. source
• Increase in sales and marketing expenses for the three months ended June 30, 2026 was primarily due to $81 million in marketing program costs and $21 million in employee-related costs. source
• Increase in sales and marketing expenses for the six months ended June 30, 2026 was primarily due to $170 million in marketing program costs, $37 million in employee-related costs and $33 million due to unfavorable foreign currency movements. source
• General and administrative expenses increased for the six months ended June 30, 2026 compared to 2025 primarily due to $53 million of employee-related costs and $50 million of restructuring costs, partially offset by $29 million of lower legal and transaction related costs. source

Impact estimates