Ebay reported its second consecutive quarterly decline in profits and revenue on Wednesday, but beat analyst estimates, sending the online auction company’s shares 4 per cent higher in after-hours trading.

First-quarter profits were $357m, or 39 cents a share, excluding one-off items, better than the estimated 34 cents per share but down from $460m a year earlier. Revenue was $2.02bn, beating the expected $1.94bn, but down from $2.19bn last year.