PayPal Reports 55% Increase in Annual Payment Volume, 53% Increase in Revenue

eBay's PayPal subsidiary reports that its annual payment volume increased in 2004 to $18.9 billion, a 55% year-over-year increase from the $12.2 billion in 2003. Fourth quarter 2004 volume was $5.6 billion, a 51% increase from 2003 and a 21% increase from the third quarter. PayPal revenue grew to $200 million, up 53% from the prior year and 20% from the prior quarter.

PayPal reported 63.8 million total accounts at the end of 2004, an increase of 58% from the prior year. Active accounts at the end of 2004 were 20.2 million compared to 13.2 million a year earlier.

PayPal's transaction loss rate increased 41% from the third to fourth quarters to 0.31% in the fourth quarter, roughly equal to the same quarter a year earlier.

Complete details are in eBay's earnings press release (PDF) released earlier this afternoon.