Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsAmazon’s Sales Miss Estimates, Profit Drops 57%
(Bloomberg) Amazon.com Inc. (AMZN), the worlds largest Internet retailer, missed analysts fourth-quarter revenue estimates and reported a 57 percent decline in profit, dragged down by shipping costs and the money-losing Kindle Fire.
Net income fell to $177 million, or 38 cents a share, from $416 million, or 91 cents, a year earlier, the Seattle-based company said today in a statement. Sales rose 35 percent to $17.4 billion, compared with an estimate of $18.3 billion.
Chief Executive Officer Jeff Bezos is squeezing profit margins in search of growth, looking to add customers by pushing free shipping and offering its Kindle devices at cut-rate prices. That has conditioned investors to expect strong sales increases, making the latest results disappointing, said Colin Gillis, an analyst at BGC Partners LP in New York.
To miss on the top line, thats what breaks the momentum, said Gillis, who recommends selling Amazon stock. The bull case just breaks down. ...............(more)
The complete piece is at: http://www.bloomberg.com/news/2012-01-31/amazon-s-sales-miss-estimates-profit-drops-as-expenses-surge-shares-drop.html
InfoView thread info, including edit history
TrashPut this thread in your Trash Can (My DU » Trash Can)
BookmarkAdd this thread to your Bookmarks (My DU » Bookmarks)
10 replies, 2189 views
ShareGet links to this post and/or share on social media
AlertAlert this post for a rule violation
PowersThere are no powers you can use on this post
EditCannot edit other people's posts
ReplyReply to this post
EditCannot edit other people's posts
Rec (2)
ReplyReply to this post
10 replies
= new reply since forum marked as read
Highlight:
NoneDon't highlight anything
5 newestHighlight 5 most recent replies
Amazon’s Sales Miss Estimates, Profit Drops 57% (Original Post)
marmar
Jan 2012
OP
Warpy
(111,261 posts)1. It's probably got something to do with Kindle, come to think of it.
I know I have an Amazon box coming in every other month or so, so I'm doing my bit to keep them afloat.
JI7
(89,249 posts)2. everyone i know who gets Kindle likes it but the only get it to read
maybe they should stick to that area.
Warpy
(111,261 posts)5. The display is too damned small for me
A text reader came with my computer but the selection is a bit limited at present. I like it much better because a 23" screen will be a lot easier to read.
SharonAnn
(13,775 posts)6. the 23" screen is certainly less portable.
And I like the ability of the Kindle to enlarge the type size when my eyes are tired.
Warpy
(111,261 posts)10. Portable is something I really don't need
Now if they enlarge the Kindle Fire one of these days to more than a quarter of a page, I might like it for magazines. Reading and viewing illustrations with a magnifying glass doesn't appeal to me.
RKP5637
(67,108 posts)4. Yep, about the same here. I use Amazon a fair amount. I like the reviews and
also contribute to the reviews of stuff.
MisterP
(23,730 posts)3. we get our dish soap from Amazon and our books from ISBN.nu. Go figure
seeviewonder
(461 posts)7. Just bought a Kindle Fire for my young daughter's birthday.
We've only had it a few days and already knows how to use it better than me!
Odin2005
(53,521 posts)8. I don't understand why its so horrible that profits don't always go up.
eShirl
(18,492 posts)9. I think they're selling the Kindle Fire tablet at a slight loss