Feeds

Amazon's soaring revenues depress Wall Street

Stock tumbles on 15 per cent sales leap

Beginner's guide to SSL certificates

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. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Big Content outs piracy hotbeds: São Paulo, Beijing ... TORONTO?
MPAA calls Canadians a bunch of bootlegging movie thieves
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
Lawyers mobilise angry mob against Apple over alleged 2011 Macbook Pro crapness
We suffered 'random bouts of graphical distortion' - fanbois
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
US court SHUTS DOWN 'scammers posing as Microsoft, Facebook support staff'
Netizens allegedly duped into paying for bogus tech advice
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
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.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.
Website security in corporate America
Find out how you rank among other IT managers testing your website's vulnerabilities.