What happened

Shares of eBay (EBAY 0.79%) jumped on Wednesday after the e-commerce company reported its first-quarter results. eBay beat analyst estimates for both revenue and earnings, although growth was sluggish. The stock was up about 5% at 11:15 a.m. EDT.

So what

eBay reported first-quarter revenue of $2.64 billion, up 2.4% year over year and $60 million higher than analysts were expecting. Revenue was up 4% on a constant-currency basis. eBay had a gross merchandise value of $22.6 billion during the quarter, down 4% year over year, or down 1% adjusted for currency.

A rising stock chart.

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Non-GAAP (generally accepted accounting principles) earnings per share came in at $0.67, up from $0.53 in the prior-year period and $0.04 better than analysts were expecting. The company grew active buyers by 4% across its platforms, and it made progress in its managed payments initiative. The company intermediated $220 million in gross merchandise volume (GMV) during the quarter, up 61% year over year.

eBay also took a dig at Amazon in its quarterly report: "The company made measurable progress against protecting its unique advantage as a true marketplace in service of -- not in competition with -- sellers of all sizes, improving how people buy and sell on the platform."

Now what

Along with reporting better-than-expected results, eBay raised its full-year guidance. The company now expects full-year revenue between $10.83 billion and $10.93 billion, and non-GAAP EPS between $2.64 and $2.70. That's up from previous guidance calling for revenue of $10.7 billion to $10.9 billion, and non-GAAP EPS of $2.62 to $2.68.

While eBay's results beat expectations, gross merchandise volume is still in decline. That's not great news, especially with overall e-commerce sales in the U.S. marching higher by a double-digit percentage annually. In the long run, eBay will need to move more merchandise through its platform in order to drive revenue and earnings higher.