Quantcast

Iffy Forecast Overshadows Positive Earnings For Amazon

Company says 24% YOY decline in operating income possible

Get the WebProNews Newsletter:
[ Business]

This afternoon, Amazon delivered its third quarter earnings report, and just about everything pertaining to the period ending September 30th was positive.  Unfortunately for Amazon, shareholders are sending the stock lower in after-hours trading due to lower margins and concern about the fourth quarter.

We’ll start with the good news, at least.  Amazon reported $7.56 billion in revenue versus estimates of $7.35 billion.  Earnings per share hit $0.51, too, rather than $0.48.

Here’s the problem: operating margins decreased from 4.6 percent to 3.5 percent on both a quarter-over-quarter and year-over-year basis, which is sort of a big drop.

Also, Amazon stated with respect to the fourth quarter, "Operating income is expected to be between $360 million and $560 million, or between 24% decline and 18% growth compared with fourth quarter 2009."

So Amazon’s stock is now down 4.10 percent despite the company’s past achievements.

Still, Amazon founder and CEO Jeff Bezos assured everyone that his business will do its best to attract customers, saying, "This holiday season we’ll have the best prices, the biggest selection, the highest in-stock, and the fastest delivery in our history."

Iffy Forecast Overshadows Positive Earnings For Amazon
Top Rated White Papers and Resources
  • chinaflightcases

    Every Internet banker understands aloof how benign accepting an portable staging can be because it gives you abundant abandon and ability to absolutely get bodies to accumulate visiting your armpit through the offers you accelerate out to them. If you aren’t aggravating to body a account you are appealing abundant aloof casting profits away. Your portable staging already congenital is annihilation but authentic gold. This will advice you accumulation whenever you appetite to after your accepting to absorb a lot of time alluring new customers. As an example: if you appetite to advertise an e-book about training and aerobics you should alpha by architecture a account of targeted buyers’ e-mail addresses so that, back you chase up with them, they will be acceptable to buy from you. Besides that, in approaching back you appear beyond advantageous associate offers, you can artlessly email them to your account and accomplish money off them.
    www.chinaflightcases.com

  • http://www.peoplesmoker.com wisdoliuben

    Though smoking in injurious to health, this habit is unavoidable under mnay circumstances. With the advancements in technology there are healthier alternatives to smoking, where one can have this habit of smoking, without risking his/her health, you can use electronic cigarette and electric cigarette