Amazon earned a record profit
Author: Mario Schmidtgen
Cloud services and Web services especially profitable
After years of no or only low profits, Amazon’s situation improves again. On Thursday the online giant announced that they had reached a record profit of $ 2.5 billion in the past quarter. This is due to Amazon’s booming Internet commerce and their strong cloud services business. In the previous quarter, the world’s largest online retailer generated $ 197 million.
Increase at the stock exchange
Through the high profit the post trading price gains also increased. The late trading rose more than three percent to the record of $ 1,866. Thus, Amazon is worth more than the ten largest Dax companies together. However, the stock lost about three percent in regular trading on Thursday due to the weakness of the tech stocks, triggered by the bad Facebook numbers.
Overall, the Amazon paper has been in good shape for years. In 2018, the stock market increased more than half, to $ 877 billion. After Apple Amazon is thus the second most valuable listed company worldwide.
Turnover was predicted higher
Turnover and profits also increased significantly in the second quarter. For example, the turnover of the cloud business Amazon Web Services grew 49 percent to $ 6.1 billion. Quarterly turnover climbed about 39 percent to $ 52.5 billion between April and the end of June. Nevertheless, turnover did not rise as much as at the beginning of the year. Experts had predicted a higher turnover.
Third quarter figures
Lower growth is predicted for the third quarter. From July to the end of September, Amazon boss Jeff Bezos expects sales between 54 and 57 billion US dollars. Compared to the previous year, this would be an increase of 23 to 31 percent. Here, Amazon is also under the estimates of the experts.