StubHub’s slowest quarter for a year led to parent company eBay’s share price diving as its Q2 results missed analyst targets.
The group’s share price fell five per cent as it lowered its full-year revenue forecast to between $10.75bn (€9.27bn/£8.27bn) and $10.85bn, from $10.9-$11.1bn earlier.
Group revenue for the quarter ended June 30 was $2.6bn, increasing 9 per cent on an as-reported basis.
StubHub’s revenue rose by four per cent to $246m, but fewer games in major US sporting events meant lower ticket sales and its slowest growth since the second quarter of 2017.
Chief executive Devin Wenig also told investors the company does not expect the landscape for ticket sales to improve in the second half of 2018.
Wenig said: “It was a historically bad MLB start of the season … and it was a four-game NBA series, it was a five-game Final Series, it was a five-game hockey series. There were just a lot of things that broke the wrong way on the landscape.”
Gross merchandise volume was up five per cent year-on-year to $1.06bn, and fairly flat on Q1 2018.
Marketing revenues from StubHub and corporate soared to $6m compared to $1m in the previous two quarters. However, these costs were at $9m in Q2 2017.