EBay says Skype could help sales
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EBay Inc. plans to use its Skype Internet telephone service to boost auction sales and isn’t seeking to sell the division, Chief Financial Officer Bob Swan said.
EBay also affirmed its sales and profit forecasts for the year, causing its shares to climb 4.9%.
The company will accelerate efforts to encourage Skype users to negotiate buying and selling over the Internet.
Skype hasn’t spurred transactions as fast as EBay anticipated when it bought the money-losing company in 2005, Swan told analysts at a conference in Scottsdale, Ariz.
Replying to an analyst asking whether Skype was for sale, Swan said, “If they make a really significant offer, we’ll always listen, but our focus is creating significant value for Skype.”
EBay said it expected profit of 39 cents to 41 cents a share in the fourth quarter and $1.47 to $1.49 in 2007.
Analysts expect profit of 40 cents a share for the quarter and $1.49 for the year.
The San Jose-based company’s revenue forecast of $2.1 billion to $2.15 billion in the quarter exceeded analysts’ estimate of $2.12 billion.
For the full year, EBay said it expected $7.6 billion to $7.65 billion in sales, compared with analysts’ $7.61-billion estimate.
EBay shares rose $1.52 to $32.52.
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