American e-commerce group eBay (NASDAQ:EBAY) have seen their shares rally following strong performance in third quarter trading, and a promising forecast for the fourth quarter. The news comes just after the online commerce giant filed a law suit against its rival Amazon (NASDAQ:AMZN), and Amazon announcing a disappointing third quarter.
The firm’s shares jumped 6% in the last window of trading, with the company announcing net profits of £567 million, which represents a 38.6% on-year increase.
Similarly, the eBay’s revenues jumped 6% on-year for the third quarter and matched analyst expectations at £2.07 billion, with revenues for the next quarter being expected to exceed expectations and peak as high as £2.26 billion.
The retailer attributed much of its recent success to major investments in product developments, brand marketing and simplifying its payment process and boosting its number of active buyers up from 175 to 177 million between the second and third quarters.
“This quarter we continued to make foundational investments to improve the long-term competitiveness of our marketplace while setting the stage for significant growth opportunities,” said eBay president and chief executive Devin Wenig.
“We will continue to innovate the customer experience while executing our growth initiatives in payments and advertising to position Ebay for future success.”
As of 09:30 GMT, eBay shares are trading up 6.35% or $1.74.