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VOL. 37 | NO. 30 | Friday, July 26, 2013
Amazon.com posts 2Q loss, higher revenue
SAN FRANCISCO (AP) — Amazon.com is reporting a loss in the second quarter as higher revenue was not enough to make up for rising operating expenses. The world's largest online retailer has been spending heavily on order fulfillment and digital content rights, which continue to weigh on profit margins.
Amazon.com Inc., which also makes the Kindle tablets and e-reader devices, said Thursday that its loss was $7 million, or 2 cents per share, in the April-June quarter. That's down from earnings of $7 million, or 1 cent per share, a year ago.
Revenue rose 22 percent to $15.7 billion from $12.83 billion.
Analysts, on average, were expecting earnings of 5 cents per share on revenue of $15.73 billion, according to a poll by FactSet.
Amazon is forecasting revenue of $15.45 billion to $17.15 billion for the current quarter. Analysts were expecting $16.97 billion.
Seattle-based Amazon's stock fell $6.90, or 2.3 percent, to $296.50 in extended trading after the results came out.