EBay beat Wall Street estimates for quarterly revenue and profit on Wednesday, as efforts to make its platforms easier to navigate attracted more customers, coupled with growth in its advertising and payments businesses.

The company's shares rose nearly 7% to $41.60 in extended trading.

EBay, facing intense competition from Amazon.com and Walmart, has focused on its promoted listings program and payments business, as well as worked to make its platform simpler to use through the introduction of grouped listings and personal recommendations.

More than 940,000 sellers took advantage of the promoted listings, resulting in $89 million of advertising revenue during the quarter, the company said.

"The results show eBay's new revenue sources are working to fuel growth in the bottom-line profitability. The company's renewed focus on advertising and its new payments business are boosting sales, and that's enough for investors to get excited," said Haris Anwar, senior analyst at financial markets platform Investing.com.

EBay also said it had reached an agreement with India's Paytm Mall, owned by Paytm e-commerce, to bring its global inventory onto Paytm's marketplace.

"As part of this collaboration, eBay is making an investment in Paytm Mall for a stake of approximately 5.5%," Chief Executive Officer Devin Wenig said.