Shares of eBay Inc. reportedly had their biggest drop in more than a year Thursday after the company posted first-quarter earnings that missed estimates.

Bloomberg News reports growth in its payments operations outstripped its e-commerce business.

Net income rose 11% year over year, to $397.7 million, or 30 cents a share, eBay said Wednesday. Excluding some costs, profit was 42 cents a share. Analysts had projected 41 cents.

The San Jose company predicted a second-quarter profit of 37 cents to 39 cents a share, excluding one-time items. Analysts in a Bloomberg survey had estimated 40 cents.

The payments unit, made up of PayPal Inc. and Bill Me Later, is growing faster than its marketplace unit. In the first quarter, total payment volume rose 35%, to $21.3 billion, and the unit's revenue rose 26%, to $809.3 million.

Bill Me Later accounted for 1% of the unit's total payment volume. Net chargeoffs in the Bill Me Later portfolio were 9.49%, down from 11.14% in the prior quarter.

John Donahoe, eBay's chief executive, said in a press release that the company is "aggressively growing PayPal to become the leader in global online payments."

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