Home > Brands > Amazon > Amazon Flag Weak Q2 After Bumper Earnings

Amazon Flag Weak Q2 After Bumper Earnings

E-commerce and tech behemoth, Amazon, has post better-than-expected first-quarter earnings, warning second-quarter results will fall below market forecasts.

First quarter revenue notched US$59.7 billion, versus US$59.68 billion analysts expected – up from US$51.04 billion last year.

Earnings per share hit a whopping US$7.09, versus US$4.67 forecast by most analysts. It follows US$3.27 a share the year prior.

The company’s cloud computing business, Amazon Web Services, continues to be a cash cow, with sales soaring 42% year-on-year to US$7.7 billion.

AWS operating profit jumped 59% from the year-ago quarter to US$2.2 billion.

Despite the stellar results, Amazon warns Q2 revenue and earnings will be below market forecasts – flagging operating profit ~US$1.2 billion under analysts expectations.

Q2 revenue is forecast to notch $US59.5 billion – $US63.5 billion. Outlook contrasts $US62.37 billion analysts projected, and $US52.9 billion reported the same time last year.

Operating profit is expected to notch $US2.6 billion – $US3.6 billion, down from $US4.2 billion expected.

For the quarter, Amazon’s international business grew by 16% (exc. foreign exchange fluctuations) to US$16.2 billion.

The company’s advertising division saw a notable slowdown, whilst its direct e-commerce business climbed 12% to $US29.5 billion.



You may also like
Amazon Ups Services As Temu, Shein Sales Surge Ahead
Apple Facing New Lawsuit Over AirTags
Amazon’s New AI Tool Requires URL For Seller’s Pages
Drivers Wanted For Amazon Last Mile Initiative As They Move To Take On OZ Post
Who Are The Foreign Retailers Stripping Billions In Revenue Away From OZ CE Retailers