Earnings: Amazon Q3 Profits, Revs Up, But Poor Outlook Sends Shares Down

This story was written by David Kaplan.
Although Amazon (NSDQ: AMZN) was able to beat analysts' forecast of $0.25 per share earnings, shares were still down as much as 14 percent in after hours trading, which Marketwatch attributed to a poor Q4 outlook. That said, compared to some others, Amazon reported healthy Q3 numbers, as net income grew 48 percent to $118 million, or $0.27 per diluted share, compared with net income of $80 million, or $0.19 per diluted share, last year. Revenue was up 31 percent to $4.26 billion, missing analysts' estimates of $4.28 billion. Amazon had offered revenue guidance of a range between $4.2 billion and $4.43 billion.

-- Outlook: Q4 net sales are expected to be between $6.0 billion and $7.0 billion, or to grow between 6 percent and 23 percent compared with Q407.

-- Operating income is expected to be between $145 million and $305 million, or between 46 percent decline and 13 percent growth compared with the same period the year before. More to come

Release | Webcast (5:00 PM EDT)


By David Kaplan

Comments

Watch CBSN Live

Watch CBS News anytime, anywhere with the new 24/7 digital news network. Stream CBSN live or on demand for FREE on your TV, computer, tablet, or smartphone.

Watch Now

New Android App

For your Android phone and tablet, download the FREE redesigned app, featuring CBSN, live 24/7 news.

Download
The all new
CBS News App for Android® for iPad® for iPhone®
Fully redesigned. Featuring CBSN, 24/7 live news. Get the App