Amazon Reports Record Profits for the Second Consecutive Quarter
Amazon for the second time in a row reported record quarterly profits. For the second quarter, the company reported net income of $857 million. The net income for the three months that ended on 30 June was nine times or more, compared to same time last year.
Amazon has been known for sacrificing profits for big investments that would usher in more growth. This time too, the investors are focusing on hints from the company's founder and chief executive, Jeffrey P. Bezos, about the company's next long-term investments.
Amazon is different from Google and Facebook that make large profits from advertising businesses. Amazon makes most of its profits from its retail business which often vanishes when the company starts massive spending on its new investments like building warehouses and increasing fleets.
In the latest quarter Amazon's $857 million income or $1.78 a share was an uptick compared to $92 million or 19 cents per share one in the previous year. Revenue scaled thirty one percent to $30.4 billion which was reported $23.19 billion same time, one year back.
Shares of the company moved up two percent during the after-hours trading following the better than expected results.