Shares in online auction giant eBay (NASDAQ:EBAY) surged over 13% as it raised profit forecasts for the year and posted better than expected quarterly profit.
It comes as the group celebrated its 20th birthday on September 3 this year and after it split its PayPal business into a separate company in July - a move, which prompted analyst concerns, as it was the faster growing side of the business.
For the three months to end September, net income at the group fell to US$539 million, or 45 cents per share compared to 54 cents per share a year earlier.
But, excluding items, that meant the company earned 43 cents per share, which beat the average analyst estimate of 40 cents.
Revenue in the quarter fell to US$2.1bn but was up about 5% after excluding changes in currency rates. Analysts had expected revenue of US$2.09 billion.
"We drove solid results in the quarter in which we completed a complex separation," eBay's president and chief executive Devin Wenig told investors.
"We also marked eBay's 20th anniversary and made progress on executing our strategy to reposition the company to deliver stable and profitable long-term growth."
The group has 159 million active buyers and said its classifieds and StubHub ticket re-sale businesses had both had strong quarters.
Looking ahead, eBay raised its forecast for adjusted profit from continuing operations for the full year to US$1.80 to US$1.82 per share from $1.72-$1.77 previously.
That was better than a consensus analyst forecast of 1.78 per share.
eBay shares rose 13.8% to US$27.55 each.