Estimates Surpassed as Amazon’s Profit and Sales Exceed Expectations

Estimates Surpassed as Amazon’s Profit and Sales Exceed Expectations

Amazon ended the third⁢ quarter with profit and sales that surpassed analysts estimates.

The online retailer​ posted earnings per share of $0.94⁤ and sales⁣ of $143.1 billion. The expectation was⁤ of $0.58 and $141.4 billion, respectively, ‍CNBC said, citing LSEG estimates.

Amazon’s‌ total revenue in the past quarter jumped ⁢13% ‍as U.S.⁣ consumer spending remains⁢ strong.

Earlier Thursday,⁤ a Commerce Department report showed that consumer spending​ boosted economic ‌growth​ in the third quarter. Gross domestic product more than doubled its pace of ⁢expansion and‍ surpassed estimates.

Sales in the​ company’s cloud business,‌ or Amazon Web‌ Services (AWS) rose 12% from ​a ⁢year earlier to $23.1 billion,​ slightly missing StreetAccount estimate of $23.2 billion, according to CNBC. The pace of expansion was the​ same of the previous quarter.

The division was under investors’ scrutiny ‍after growth slowed in⁤ recent quarters as big companies tried to control ​expenses.

“We had ‌a strong third quarter as our cost ⁢to serve and speed of delivery in our stores business took another step forward, our AWS growth continued to stabilize, our advertising revenue grew robustly, and overall ⁣operating income and free cash‌ flow rose significantly,”⁢ Chief Executive Officer Andy ‍Jassy said in the earnings statement.

2023-11-02 06:41:03
Source ⁤from www.ibtimes.com

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