Supplemental Consolidated Financial Information

3 Months Ended

Mar. 31, 2024

Supplemental Consolidated Financial Information

Contract Balances

Timing of revenue recognition may differ from the timing of invoicing to customers. Accounts receivable represents amounts invoiced and revenue recognized prior to invoicing when we have satisfied our performance obligation and have the unconditional right to payment. The allowance for doubtful accounts and authorized credits is estimated based upon our assessment of various factors including historical experience, the age of the accounts receivable balances, current economic conditions reasonable and supportable forecasts, and other factors that may affect our customers’ ability to pay. The allowance for doubtful accounts and authorized credits was $47 million and $49 million as of March 31, 2024 and December 31, 2023, respectively. As of March 31, 2024, we reported an allowance for doubtful accounts of $22 million reflecting a decrease of $2 million, net of write-offs of $7 million for the three months ended March 31, 2024. As of March 31, 2024, we reported an allowance for authorized credits of $25 million, reflecting an immaterial decrease, net of write-offs, for the three months ended March 31, 2024. As of December 31, 2023, we reported an allowance for doubtful accounts of $23 million and an allowance for authorized credits of $26 million.

Deferred revenue consists of fees received related to unsatisfied performance obligations at the end of the period. Due to the generally short-term duration of contracts, the majority of the performance obligations are satisfied in the following reporting period. The amount of revenue recognized for the three months ended March 31, 2024 that was included in the deferred revenue balance at the beginning of the period was $28 million. The amount of revenue recognized for the three months ended March 31, 2023 that was included in the deferred revenue balance at the beginning of the period was $31 million.

Customer accounts and funds receivable


	March 31, 2024		December 31, 2023
	(In millions)
Customer accounts	$	448	$	481
Funds receivable	660		532
Customer accounts and funds receivable	$	1,108	$	1,013

Other current assets


	March 31, 2024		December 31, 2023
	(In millions)
Warrant	$	513	$	364
Prepaid expenses	144		116
Income and other tax receivable	97		99
Accounts receivable, net	89		94
Restricted Cash	79		23
Short-term derivative assets	21		23
Payment processor advances	5		36
Other	237		256
Other current assets	$	1,185	$	1,011

Accrued expenses and other current liabilities


	March 31, 2024		December 31, 2023
	(In millions)
Accrued sales and use tax and VAT	$	456	$	424
Compensation and related benefits	338		581
Accrued marketing expenses	201		181
Transaction loss reserve	126		125
Operating lease liabilities	121		118
Accrued general and administrative expenses	81		79
Accrued interest expense	74		56
Accrued legal matters	64		132
Accrued restructuring	57		102
Deferred revenue	33		34
Other	378		364
Accrued expenses and other current liabilities	$	1,929	$	2,196

Gain (loss) on equity investments and warrant, net


	Three Months Ended March 31,
	2024		2023
	(In millions)
Unrealized change in fair value of equity investment in Adevinta	$	(234)	$	174

Unrealized change in fair value of equity investment in Gmarket	(6)		(11)
Unrealized change in fair value of equity investment in KakaoBank	—		(3)
Change in fair value of warrant	149		38


Gain (loss) on other investments	(6)		—
Total gain (loss) on equity investments and warrant, net	$	(97)	$	198

Interest income and other, net


	Three Months Ended March 31,
	2024		2023
	(In millions)
Interest income	$	61	$	42
Foreign exchange and other	7		—
Total interest income and other, net	$	68	$	42