Amazon profits increase 48 percent in second quarter of 2021

World

Published: 2021-07-30 14:13

Last Updated: 2024-04-18 20:04


Amazon profits increase 48 percent in second quarter of 2021
Amazon profits increase 48 percent in second quarter of 2021

Amazon made $7.8 billion in net profit in the second quarter, up 48 percent from the same quarter last year, benefiting from e-commerce and cloud services that did not slow down despite the lifting of health restrictions.

However, the giant company retreated in the stock market after the closing of Wall Street Thursday, due to its announcement of revenues of $113 billion, which reflected an increase of 27 percent, below analysts' expectations by two billion.

"We had difficulty assessing the impact of Covid on our activities in the past quarters," the group's chief financial officer told analysts during a conference.

He continued, "We generally exceeded our expectations (...) but the fact that people receive the vaccine played a role, they move more and no longer shop exclusively on the Internet, and they spend more time outside, while they devote less time to shopping, and this is a very good thing."

However, this did not prevent Amazon from betting on Prime Day, an annual two-day event on its website aimed at subscribers to its Prime service, which provides several benefits, including free delivery within 24 hours.

The group confirmed in a statement presenting its results that, "During the Prime Day, Prime subscribers in twenty countries saved and spent more sums than any previous day, and bought 250 million products."

Market research firm eMarketer expects Amazon to record global sales of $626.6 billion in 2021, an increase of 26 percent, representing 12.7 percent of the global e-commerce market.