Amazon Reports $17B In Sales For Q3

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Amazon's Q3 earnings beat Wall Street's expectations, but not by much.

Amazon just barely beat Wall Street's expectations Thursday when it reported a loss of $41 million, or 9 cents-per-share, in the third quarter and net sales of $17.09 billion. Analysts were expecting a 9 cent-per-share loss on $16.76 billion in revenue for the quarter. The net sales figure is a 24 percent increase from last year.
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Semantics said:
Amazon not making money what's new?
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They're a very interesting company. They're actually rewarded for losing money in terms of share price, etc. My best guess is that Bezos has some sort of 20 or 30 year plan to take over a huge number of markets by using lower prices and efficient shipping methods.

Or he could be kinda nuts. Either way, they have everything you could want in a company you're investing in...except actual profit.
 
Well, they are making money off me.

When I got prime last year I began purchasing everything except for food and clothing off Amazon.

I placed 17 orders this month..I think I have a problem.
 
I'm sure the plan is to make Amazon indefensible to a ton of people, then, make it profitable. Right now it's all about market penetration as they take relatively small losses compared to how much they are increasing their market infrastructure.
 
I purchase a lot of items from Amazon just due to convenience and no sales tax. That is about to end though, as the headline this week is that they are adding 1000 jobs here in Florida, building two warehouses. I guess that makes me greedy, but I can just pick up items at walmart now.
 
WinSomeLoseNone said:
Well, they are making money off me.

When I got prime last year I began purchasing everything except for food and clothing off Amazon.

I placed 17 orders this month..I think I have a problem.
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I do the same thing but I'm not getting Prime. Makes me feel locked in.
 
ReconSniper said:
I purchase a lot of items from Amazon just due to convenience and no sales tax. That is about to end though, as the headline this week is that they are adding 1000 jobs here in Florida, building two warehouses. I guess that makes me greedy, but I can just pick up items at walmart now.
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They already started charging sales tax here in California, and now the free super saver shipping minimum order size has gone up to $35.
I've been looking at several items, but I doubt I'll be buying from amazon, as they items are cheaper at Newegg (also has sales tax, but at least shipping is cheap as they are local) and a few other places.
 
Ever since I got Prime I order almost everything off of Amazon as well. Hell I even signed up for the Chase Amazon Card because I spend so much damn money on Amazon. They even gave me a free Kindle because I'm such a good customer. Those were direct quotes from the CS rep. Granted I broke the one I had but instead of charging me for a replacement they just sent me a new one. This was even extra special because the original one I bought was a refurb! Their CS is excellent in my experience, and their prices from what I've seen are always good.

I too have a problem....
 
And amazon stock surges on that?!? Man I need to start a money losing business, go public and get rich!
 
Dawill said:
And amazon stock surges on that?!? Man I need to start a money losing business, go public and get rich!
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Amazon is in a unique position among most public companies where their investors seem to share the vision of the CEO Bezos ... as long as that alignment continues to exist their stock will do well ... I think the long game on Amazon looks very promising (they will likely be the next Walmart eventually, in terms of retail power and scale) and their investors seem to share that attitude
 
And in the meantime AMD beat expectations, actually posted a profit, and their stock dove 15% the next day. Stock market = bizarro world.
 
kbrickley said:
Amazon is in a unique position among most public companies where their investors seem to share the vision of the CEO Bezos ... as long as that alignment continues to exist their stock will do well ... I think the long game on Amazon looks very promising (they will likely be the next Walmart eventually, in terms of retail power and scale) and their investors seem to share that attitude
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Dunno about that... For 10 years bezos/Amazon has been in pretty much the same position with investors. They complain constantly that they aren't getting their profits, while Bezos keeps dumping money back into the company.

Initially I would say you would be right, for the first few years people were amazed that Bezos could "ignore" the stockholders profit wishes (aka strip mine a rising company) while not getting punished too much in stock/holder backlash.

Though I will say in the last 5 years or so the investors put up with it due to growth. Bezos investment strategy is working. Amazon is busting into market after market and becoming a big player in each. The magic is somehow Amazon has people perpetually looking to more $$$ in the future which is a pretty rare trait with a lot of big money on Wall Street.

One day they may say enough is enough we want cash now please.
 
They bought a couple city blocks in Seattle and are building one of the larger business complexes in NA (3million+ square feet). They aren't turning a real profit right now because Bezos is building the company up to a staggering scale.
 
LeninGHOLA said:
They bought a couple city blocks in Seattle and are building one of the larger business complexes in NA (3million+ square feet). They aren't turning a real profit right now because Bezos is building the company up to a staggering scale.
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Absolutely this. If Amazon sat back and stopped expansion, they would be profitable every quarter. Instead, he has a loyal investment following that follows his vision of market penetration at break even/slight loss. The amount of money they are burning through to set up new distribution centers for same day delivery/expansion of grocery services, etc is tremendous, but once they have the delivery system they want set up profits will begin to rise.
 
I think you are all forgetting one major piece of amazon. Bezos is reinvesting massively in the company's infrastructure and most importantly data centers and server network. This is a company poised to take over the world in the future. It is on the road now.

PS if you dont have Prime you are a moron as its the best deal in the universe. I ship everything FREE two day and dirt cheap next day. Plus I get all the movies I could ever watch 10 times over. If I cant order something from amazon Im bummed out... its that good
 
somecallmeTim said:
Seventeen billion dollars.

That's more than the GDP of some countries.
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Walmart (the largest retailer on the planet) would be the 25th largest economy if they were a country ... although Amazon is less than a quarter of Walmart's revenue I think Amazon could be comparable some day :cool:
 
Zepharus said:
I think you are all forgetting one major piece of amazon. Bezos is reinvesting massively in the company's infrastructure and most importantly data centers and server network. This is a company poised to take over the world in the future. It is on the road now.

PS if you dont have Prime you are a moron as its the best deal in the universe. I ship everything FREE two day and dirt cheap next day. Plus I get all the movies I could ever watch 10 times over. If I cant order something from amazon Im bummed out... its that good
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I have prime, but I wouldn't call people morons for not having it. Not everyone cares if they have free 2 day shipping (or various free video streaming). Most people hit the minimum order amount to qualify for free shipping. They get their items with 'free' shipping just like you get your items with 'free' shipping, except you paid an extra $80/year to do it, and sometimes you get 2-day shipping (I say sometimes because not everything qualifies for 2 day shipping, whether or not you have prime).

Everyone has different things they care about. No doubt lots of people would call you and I morons for paying an extra $80/year just to be able to have 'free' 2 day shipping. But if people don't care that it might take a week to get their stuff, then the joke is on us.
 
I've always had to pay tax on Amazon purchases. It's still almost always better than going to Best Buy, Frys or whatever else if you don't mind searching for the best deal. If we had a Microcenter here, I might use Amazon less.
 
Amazon in my opinion is a great company. They have an amazing warehouse, in how they do it. Customer service is also very important, more so now. Profit keeps the company going but keeping their employees working and offering great customer experiance is equally important.

I buy from Amazon them all the time. Stop buying from Newegg bad customer service.
 
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