Feeds

Amazon's soaring revenues depress Wall Street

Stock tumbles on 15 per cent sales leap

Remote control for virtualized desktops

Amazon continues to prove that a melting economy doesn't necessarily mean you can't continue to expand sales on the world's largest etail site. During the second quarter ending June 30, the company pulled in revenues of $4.65 billion, a fifteen per cent jump from the same quarter last year.

But this wasn't enough to satisfy the Wall Street guessmen, who'd guessed that revenues would be higher. And thanks to a $51m payment to settle a lingering dispute with former etail partner Toys R Us, Amazon's profits topped out at $142 million, a 10 per cent year-on-year drop.

During a conference call and webcast with industry analysts and reporters, CFO Tom Szkutak blamed the less-than-astronomical revenues on declining sales of video games and gaming consoles - a dip noticed across the industry. Szkutak also pointed out that last year's second quarter saw the introduction of four big-name games, including Nintendo's Wii Fit.

What's more, last year's numbers were boosted by the $52 million sale of Amazon's European DVD assets.

Yesterday, the company announced the acquisition of shoe fetishist etailer Zappos for $850 million. During today's call, Szkutak said that Zappos had about $635 million in revenue last year, and made a "small profit."

Failing to top the estimates of the Wall Street guessmen, Amazon saw its share price drop 6.2 per cent in after-hours trading. ®

Remote control for virtualized desktops

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Internet Security Threat Report 2014
An overview and analysis of the year in global threat activity: identify, analyze, and provide commentary on emerging trends in the dynamic threat landscape.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.