Amazon's Q2 sales up 25% to $38bn

28 Juillet, 2017, 15:56 | Author: Marc Bacque
  • Screengrab via YouTube  Bloomberg

Amazon has turned AWS into a business that's on track to generate well over $10 billion in revenue annually.

The cloud computing division climbed 42% to $4.1 billion revenue for the quarter, recording higher sales but slower growth than previous quarters, with the second quarter of past year seeing it post a 58% sales jump.

Net income was $197 million in the second quarter, or $0.40 per diluted share, falling from $1.78 per diluted share in the second quarter of 2016.

Shares - up almost 40% this year - fell 3.2% to $1,012.68 in after-hours trading. "Q3 is generally a high investment period", CFO Brian Olsavsky said on a call with reporters, according to Reuters, pointing to preparations for the Christmas rush.

Amazon.com has announced that its net sales for the second quarter (Q2) of 2017 amount to $38.0bn, up 25% on last year's Q2.

These include the expansion of its Echo line of voice-activated devices and its Fire tablet portfolio, as well as the roll-out of its Amazon Fresh and Amazon Prime services to new geographies. While Amazon overall surprised investors with a drop in profits, this is pretty much what observers expected from AWS during the quarter.

Denying husbands sex is abuse by wives: Malaysian MP
Women who deny their husbands sex are guilty of psychological and emotional abuse, according to a Malaysian lawmaker who is now under fire for the remarks.


Lucky Blue Smith and Stormi Bree's baby is called Gravity because science
I have some wonderful and surprising news - Stormi and I are having a baby! She wrote, "This bean and this bean are cooking a little bean".


Scaramucci Vs. Priebus: Trump's West Wing War Goes Public
Asked what he meant by including Priebus, Scaramucci says, "If Reince wants to explain he's not the leaker, he can do that". The CNN interview was not the first time Scaramucci and Priebus' tense relationship has come out.


Even excluding the proposed Whole Foods deal, Amazon forecast an operating income of between $300 million and a loss of $400 million for the current quarter.

"The fact that they are investing on so many fronts right now just speaks to the opportunity that they have before them", said Edward Jones analyst Josh Olson.

Analysts had expected operating income of US$931 million, according to FactSet.

From its origins as an online bookseller, Amazon has jumped into areas that historically had barriers to e-commerce, from apparel to appliances.

"Every category of operating expense was up", said Michael Pachter, analyst at Wedbush Securities, citing higher marketing, content and fulfilment costs.

Amazon's second biggest competitor to AWS, Microsoft has not yet released the revenue numbers for its own cloud computing platform Azure but according to the company its revenue also grew by 97 per cent during the last quarter. Figures were also boosted by a 50 percent rise in the sale of subscription services - including the Prime membership that the group started to compete with streaming giant Netflix. The subsidiary will expand in France, Sweden and China in the near future, Olsavsky said.

Conseillé:



Populaire

Anglers in disbelief as mako shark leaps onto boat; video
Don Law was at the helm when this freaky incident occurred on July 6, and that the shark was estimated to weigh about 180 pounds. Video shows the shark became stuck on the railing of the boat and was thrashing about in an effort to get back into the water.

BT profits hit by Italian scandal
Shares in telecoms group BT fell 3.5% after it took a £225m charge related to its Italian accounting scandal . Shares in BT plunged 20% in January after it uncovered a £530 million black hole in its Italian business.

Under pressure, Trump turns attention back to Clinton
A source close to Sessions said he has a "spine of steel" and plans on remaining in office until he is fired or asked to resign. Key forces in the conservative media, including Rush Limbaugh and Breitbart News, sharply criticized Trump's broadsides.

Quand les députés LREM rejettent un article... par étourderie !
Il devait élargir les obligations de transparence fiscale des ministres aux " impositions de toute nature ". Alors, croyant voter contre un amendement défendu par LFI, la majorité a voté contre un article.

American Airlines Group (AAL) Beats on Q2 Earnings July 28, 2017
Cowen and Company restated an "outperform" rating on shares of American Airlines Group in a research report on Friday, April 14th. LLC now owns 3,528 shares of the airline's stock worth $149,000 after buying an additional 743 shares during the last quarter.

Men are making themselves depressed - by eating too much sugar
Men who ate the most sugar were 23 per cent more likely to develop common mental health problems over the next five years. Millions of British men could be making themselves anxious and depressed by consuming too much sugar, the study suggests.

Nitish takes oath as CM, to prove majority today
The RJD leader had already been barred from contesting in elections because of a previous corruption conviction. Bihar Chief Minister Nitish Kumar won the floor test with 131 of the 243 legislators voting for him.

Rooney happy to get Everton homecoming out of way
Everton forward Wayne Rooney says that he will now be able to "focus on football" after making his first appearance at Goodison Park since re-signing for the club.

United Bankshares, Inc. (NASDAQ:UBSI) Stake Reduced by First American Bank
Finally, Meadow Creek Investment Management LLC boosted its stake in shares of United Bankshares by 14.5% in the first quarter. On average, analysts anticipate that United Bankshares, Inc. will post $2.07 earnings per share for the current fiscal year.

Saudi King sought Trump's help in ending Al-Aqsa curbs
Earlier on Thursday, the Grand Mufti of Jerusalem Muhammad Hussein reportedly declared an end to the dispute over a holy Muslim and Jewish site , and encouraged worshipers to pray at its premises.