Amazon.com founder and CEO Jeff Bezos.
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Amazon investors adjust to a strange new reality :. The company, which has the potential and willingess arrived in large numbers for several ongoing basis
e-commerce giant said Thursday it made $ 79 million profit in its latest quarter, compared with $ 437 million loss the same period last year. Wall Street analysts were expecting a loss of 13 cents per share, rather than 17 per cent of the share of the profits they end up seeing. As usual, revenues increased by 20%, reaching $ 25.4 billion, compared with $ 20.6 billion in the third quarter of 2014 the value of US growth now means overseas sales look a little lower in US dollar terms -. $ 1.3 billion below the specified Amazon
While online retail business is still booming, cloud computing division has become one of the crown jewels of the Amazon. Impressive financial results of Amazon Web Services has been identified for the first time in April, and it keeps getting better: in the quarter, the unit had revenue of just over $ 2 billion, almost double the same period last year, and he made a $ 521 million operating profit .
To put it in perspective, the North American Amazon’s online retail business made an operating profit of $ 528 million. Rackspace, a public company is valued at $ 3.5 billion, which provides similar services cloud computing was $ 1, 8 billion in revenue in all of 2014 in the last nine months, revenue AWS was almost $ 5.5 billion with profits of nearly $ 1.2 billion.
Amazon shares rose 10% in after-market trading to $ 620, 53. Amazon shares often creates wild swings in prices as a result of earnings reports that have historically rotated between large loses and profit margin, along with sustainable revenue growth. On average, stock swing of 9% after reporting results, according to data compiled by Bloomberg.
On a call with analysts, Amazon CFO Brian Olsavsky said “innovation and investment will continue and be a success,” and that the company “will continue to work on the costs.”
With revenues are still growing, and the price began to reign, it seems, some form of stability, the bottom line appears. Amazon turned a profit in three of its last four quarters and beat Wall Street expectations in all four. In the four quarters before that, he beat or matched Wall Street’s expectations, and just turned a profit twice. Amazon is the shares more than 80% last year.