Internet retailer eBay has announced a strong growth in profits for the last quarter of 2011, indicating an increase in the number of people buying goods online and having them sent out by delivery services.

The company reported that revenue had increased by 35 per cent on a year-on-year basis, climbing to $3.4 billion (£2.2 billion).

Its ownership of payments service PayPal also delivered profit for the business, with the online cash processing facility picking up an average of one million new customers a month over the period.

eBay president and chief executive officer John Donahoe said the positive figures have increased confidence in the three-year plan set out by the company.

"We are well-positioned to compete in the emerging new retail environment and to help retailers of all sizes grow and engage their customers anytime, anywhere," he added.

The company recently piloted a scheme allowing customers to use their PayPal account in bricks-and-mortar stores as multichannel retail becomes an important part of the industry.
 

Author:  Adrian Medland