Amazon Web Services Update
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Amazon’s revenue in the second quarter increased, but it was lower than Wall Street’s lofty expectations, although the overall profit of the e-commerce giant increased by 50% compared to the same period last year.
Net income for the three months from April to June was US$7.8 billion, or diluted earnings per share of US$15.12, easily exceeding analysts’ expectations of US$6.4 billion.
Amazon’s revenue at a glance
Actual Comparative estimate
income: $113.1 billion Compared to 115.1 billion US dollars
Net income $7 billion Compared to 6.4 billion US dollars
Earnings per share 15.12 USD Compared to $12.32
Gross margin 43.3% Contrast 41.6%
AWS (cloud) revenue $14.8 billion Compared to 14.2 billion US dollars
Estimated source: S&P Capital IQ and FactSet
According to FactSet’s consensus data, revenue increased by 27% over last year, reaching 113 billion U.S. dollars, lower than the expected 115 billion U.S. dollars.
Although Amazon launched its flagship Prime Day sales event, which caused it to decline in the second quarter, revenue declined.
The stock price fell more than 5% in after-hours trading.
Amazon also predicts that compared with the same period last year, this quarter’s profit will decline, and it expects that operating income from July to September will be between US$2.5 billion and US$6 billion, compared with US$6.2 billion a year ago.
Amazon’s cloud computing unit AWS continues to perform strongly. The company’s revenue in the second quarter was US$14.8 billion, compared with US$10.8 billion in the same period last year-the second consecutive quarter of growth of more than 30%.