AMZN) released second-quarter earnings on Thursday, which undermined Wall Street estimates, backed by consumer trends during the coronavirus pandemic that turned the technology giant into one of the biggest beneficiaries of the crisis. Amazon (AMZN) released second-quarter earnings on Thursday, which undermined Wall Street estimates, backed by consumer trends during the coronavirus pandemic that turned the technology giant into one of the biggest beneficiaries of the crisis.
The company’s results are even more impressive, given that it acknowledged spending more than $ 4 billion during the quarter on COVID-19-related expenses. Here are the results compared to the consensus estimates made by Bloomberg:
The quarter’s operations were boosted by operating cash flow, which increased 42% over the past twelve months to $ 51.2 billion, compared to $ 36.0 billion from the same period last year. Net sales rose 40 percent from $ 63.4 billion a year ago, and Amazon’s web service (AWS), the company’s large-scale cloud business, saw growth of 29 percent.
Patrick Moorhead, president and chief analyst at Moor Insights and Strategy, said AWS growth during the quarter was “greater than the total annual revenue from many cloud games. AWS is on track to set up an annual company with a profit of $ 40. This makes AWS bigger than Salesorce.com and SAP. “
Amazon, meanwhile, also said it had invested more than $ 9 billion in capital projects, and saw its grocery delivery capacity grow by more than 160 percent amid a threefold surge in online product sales during the quarter.
“We have created more than 175,000 new jobs since March and are in the process of bringing 125,000 of these employees to full-time, full-time positions,” said CEO Jeff Bezos.
“And third-party sales have grown faster again than Amazon’s sales. Finally, even at this unpredictable time, we have introduced significant money into the economy this quarter, investing more than $ 9 billion in capital projects, including the implementation, transportation and support of security systems, ”he added.
united by more than 63%, well ahead of the S&P 500 index. “data-reactid =” 31 “> The stock, which rallied more than 6% in overtime trading, was in tears as the coronavirus pandemic led to large-scale outages, with domestic restrictions. website for its needs, a year ago Amazon collected more than 63%, well ahead of the S&P 500 index.
FB), Amazon (AMZN), AppleAAPL), Netflix (NFLX) and Google Alphabet (GOOG“. data-reactid =” 32 “> Amazon has cut closures many times in a row – along with other groups in high-end promotions” FAANG “, including Facebook (FB), Amazon (AMZN), Apple (AAPL), Netflix (NFLX) and Google Alphabet (GOOG) Alphabet.
According to the instructions of the third quarter provided by the company, net sales in the next quarter are expected to be from 87 to 93 billion dollars. USA, an increase of 24% – 33% compared to the same period in 2019. Coronavirus-related spending exceeded $ 2 billion in the third quarter, Amazon said, from operating income, which is expected to fall between $ 2 billion and $ 5 billion.
Daniel Salmon, an analyst at BMO Capital Markets, which ranks Amazon in the №4 among the “mega-payouts” of top stocks, said this week that “the long-term potential of stocks is stronger than ever, and we also continue to see performance over the next 12 months “.
However, he added that the bank was “cautious”, given the recent surge and the possibility of Amazon to increase investment costs.
testimony before Congress for the first time Wednesday afternoon. The billionaire, who is usually able to control the story over technology and retail, found himself on the defensive after being asked to use Amazon’s data from third-party vendors. Data-reactid = “37”> Report on Q2 comes on the heels of Bezos, the richest man in the world, first testified before Congress on Wednesday afternoon Billionaire, who is usually able to control the story over technology and retail hippopotamus, was on the defensive after as he was asked about using Amazon third-party data.
Asked if customer information was being used in favor of Amazon, Bezos said the company was limiting it, but added, “I can’t guarantee the policy wasn’t violated,” a response that caused eyeballs among market participants.
@TeflonGeek“data-reactid =” 39 “>Javier David is the editor of Yahoo Finance. Follow him on Twitter: @TeflonGeek
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