Amazon Australia Post $292M Full-Year Revenue
Amid a sluggish retail landscape and intense e-commerce competition, Amazon Australia has post $292.3 million in revenue for calendar year 2018, coupled with a $5.3 million loss after tax.
As per afr, it’s the global tech giant’s first full-year results for its Australian subsidiary, with figures lodged to the local corporate regulator.
Amazon Web Services generated $306 million in sales for the full-year, culminating in a $15.7 million loss after tax.
Commentators claim Amazon Australia is utilising a similar strategy as its US parent company to obtain longer term profitability following several periods of losses.
The news comes as Amazon continues to ramp up its Australia operations, with the opening of its second Assie fulfilment centre, Fulfilment by Amazon merchant services and premium subscription service Amazon Prime.
Local retailers have continued to strengthen defences against Amazon Australia, with Kogan.com recently announcing it’s own third-party marketplace and Officeworks ramping up its in-store premium shopping experience.
As previously reported, Morgan Stanley analysts recently labelled JB Hi-Fi as “in fighting shape” against Amazon Australia, citing stronger price competition.
Their research reveals Amazon beat JB Hi-Fi on price in only three of twelve products checked – overall 4% more expensive.