FILE PHOTO: Amazon founder and CEO Jeff Bezos laughs as he talks to the media while touring the new Amazon Spheres during the grand opening at Amazon's Seattle headquarters in Seattle, Washington, U.S., January 29, 2018.   REUTERS/Lindsey Wasson/File Photo

Amazon doubled its profit to a record $5.2 billion in the second quarter.
Amazon CFO Brian Olsavsky shared a few reasons that may have contributed to the increased profits during his call with analysts on Thursday.
Amazon saw huge lockdown-driven sales, but also scaled back its marketing and video production spend, while improving the profitability of its international business.
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Amazon surprised investors on Thursday when it reported record profits for the second quarter, which exceeded Wall Street expectations by almost 600%.

The $5.2 billion in net profit, which doubled from last year, was all the more impressive because Amazon had previously warned it would spend all of the $4 billion it was projected to make in quarterly profits on COVID-related responses, including wage increases for warehouse workers and the development of an in-house testing lab.

Calling it a “highly unusual quarter,” Amazon CFO Brian Olsavsky shared a few factors that may have contributed to the improved bottom line during his call with Wall Street analysts on Thursday, according to a transcript provided by Sentieo:

Lockdown driven sales: The significant increase in customer demand that started in early March remained high throughout the quarter, Olsavsky said. As a result, …read more

Source:: Businessinsider – Tech


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