Groups Similar Look up By Text Browse About



Similar articles
Article Id Title Prob Score Similar Compare
206677 VENTUREBEAT 2021-4-30:
Amazon posts record profits as AWS hits $54B annual run rate
1.000 Find similar Compare side-by-side
206847 ZDNET 2021-4-29:
AWS hits $54 billion annual run rate
0.555 0.577 Find similar Compare side-by-side
206851 ZDNET 2021-4-30:
Amazon Prime Day moves to Q2
0.831 0.536 Find similar Compare side-by-side
206704 THEVERGE 2021-4-29:
Amazon crosses $100 billion in sales in huge first quarter
0.186 0.526 Find similar Compare side-by-side
206497 VENTUREBEAT 2021-4-27:
Microsoft beats Q3 revenue expectations, spurred by strong cloud sales
0.426 Find similar Compare side-by-side
206418 ZDNET 2021-4-28:
Shopify Q1 revenue up 110%, profits surge due to digital commerce, stake in Affirm
0.398 Find similar Compare side-by-side
206838 ZDNET 2021-4-29:
Huawei first quarter sales down 16.5% thanks to Honor sale
0.376 Find similar Compare side-by-side
206822 ZDNET 2021-4-28:
Apple's Q2 crushes estimates as iPhone, Mac, iPad sales surge; Apple now has 660 million subscriptions
0.375 Find similar Compare side-by-side
207093 ZDNET 2021-5-3:
iRobot shares drop despite raised year revenue view
0.371 Find similar Compare side-by-side
206820 ZDNET 2021-4-28:
eBay Q1 2021: Revenues top $3 billion as buyer and seller pools expand
0.369 Find similar Compare side-by-side
206835 ZDNET 2021-4-29:
LG's Q1 earnings surge on back of strong home electronics sales
0.368 Find similar Compare side-by-side
206732 ZDNET 2021-4-30:
Cloud computing spending accelerates again as Microsoft, Google chase AWS
0.367 Find similar Compare side-by-side
206542 ZDNET 2021-4-27:
Google Cloud brings in $4B in Q1, up 46 percent
0.359 Find similar Compare side-by-side
206500 VENTUREBEAT 2021-4-28:
AMD bets on strong demand for chips as revenue soars 93%
0.357 Find similar Compare side-by-side
206813 ZDNET 2021-4-29:
Citrix misses Q1 earnings targets amid supply chain challenges, business model shift
0.354 Find similar Compare side-by-side
206502 ZDNET 2021-4-28:
Starbucks leverages loyalty program, digital to navigate customers' new normal
0.353 Find similar Compare side-by-side
206546 ZDNET 2021-4-27:
AMD stock jumps as Q1 results crush expectations, forecast goes much higher
0.353 Find similar Compare side-by-side
206819 ZDNET 2021-4-28:
Qualcomm stock surges as fiscal Q2 results top expectations, outlook is even stronger
0.350 Find similar Compare side-by-side
207154 ZDNET 2021-5-3:
Chegg reaches record 4.8 million subscribers in Q1
0.346 Find similar Compare side-by-side
206817 ZDNET 2021-4-28:
Facebook tops Q1 estimates as ad prices rise
0.345 Find similar Compare side-by-side
206674 VENTUREBEAT 2021-4-30:
Cloud infrastructure spending grew 35% to $41.8B in Q1 2021
0.343 Find similar Compare side-by-side
206653 ZDNET 2021-4-28:
Woolworths announces plan to build first automated fulfilment centre
0.338 Find similar Compare side-by-side
206553 ZDNET 2021-4-27:
Juniper Q1 and outlook top expectations even as global chip shortage weighs
0.336 Find similar Compare side-by-side
206493 ARSTECHNICA 2021-4-27:
Amazon’s 11th-gen Fire HD 10 tablet starts at $149.99
0.332 Find similar Compare side-by-side
206533 ZDNET 2021-4-27:
FireEye Q1 revenue, EPS top expectations, forecast higher, shares rise
0.326 Find similar Compare side-by-side

1

ID: 206677

URL: https://venturebeat.com/2021/04/30/amazon-posts-record-profits-as-aws-hits-54b-annual-run-rate/

Date: 2021-04-30

Amazon posts record profits as AWS hits $54B annual run rate

Join Transform 2021 this July 12-16. Register for the AI event of the year. ( Reuters) — Amazon.com, one of the biggest winners of the pandemic, posted record profits on Thursday and signaled that consumers would keep spending in a growing U.S. economy and converts to online shopping are not likely to leave. Since the start of the coronavirus outbreak, shoppers have relied increasingly on Amazon for delivery of home staples, and the company sees this trend continuing post-pandemic, particularly for groceries. While brick-and-mortar stores closed, Amazon has now posted four consecutive record quarterly profits, attracted more than 200 million Prime loyalty subscribers, and recruited over 500,000 employees to keep up with surging demand. Amazon said it expects operating income for the current quarter to be between $4.5 billion and $8 billion, which includes about $1.5 billion in costs related to COVID-19. Shares rose 4% in after-hours trade. Throughout the pandemic, the worlds largest online retailer has been at the center of workplace tumult, with a failed attempt by organized labor to unionize an Amazon warehouse in Alabama and litigation in New York over whether it put profit ahead of employee safety. Amazons business has largely been unfazed by the developments. Michael Pachter, an analyst at Wedbush Securities, said a jump in Prime subscriptions, consumers embrace of grocery delivery amid COVID-19 and an improving economy worked to Amazons advantage. Habit. Good quality grocery. Stimulus checks, Pachter said. Theyre going to thrive. Slower sales growth in the current period relative to the last quarter reflected a tougher comparison to last year, when lockdowns were in full swing, Pachter said. CEO Jeff Bezos touted the results of the companys cloud computing unit Amazon Web Services (AWS) in a press release, saying, In just 15 years, AWS has become a $54 billion annual sales run rate business competing against the worlds largest technology companies, and its growth is accelerating. The plaudits were a nod to Andy Jassy, AWSs long-time cloud chief who will succeed Bezos as Amazons CEO this summer. Amazon announced a deal for Dish Network to build its 5G network on AWS last week, and the division increased revenue 32% to $13.5 billion, ahead of analysts average estimate of $13.2 billion, according to IBES data from Refinitiv. Brian Olsavsky, Amazons chief financial officer, said businesses increasingly wanted to outsource their technology infrastructure to AWS. We expect this trend to continue as we move into the post-pandemic recovery, he said. Adding to Amazons second-quarter revenue will be Prime Day, the companys annual marketing blitz. Amazon disclosed the event will take place in June rather than July, as is more typical, to reach customers before they head on vacation. Grocery sales anchored by Amazons subsidiary Whole Foods Market remain a bright spot, too. Olsavsky called grocery a great revelation during the post-pandemic period. The companys first-quarter profit more than tripled to $8.1 billion from a year ago, on sales of $108.5 billion, ahead of analysts estimates. Amazon saw its stock price nearly double in the first part of 2020 as it benefited from the pandemic. This year, however, it has underperformed the S&P 500 .SPX market index. Its shares were up about 8.5% year to date versus the indexs 13% gain. Spending on COVID-19 and logistics has chipped away at Amazons bottom line. The company has poured money into buying cargo planes and securing new warehouses, aiming to place items closer to customers to speed up delivery. It said Wednesday it planned to hike pay for over half a million employees, costing more than $1 billion — and it is still hiring for tens of thousands more positions. Olsavsky said Amazon was still working to restore one-day package delivery rates to pre-pandemic levels. He told reporters the company intends to increase spending on video content this year as well. Consumers have been watching content for more hours on Amazon, Olsavsky said. While far behind ad sales leaders Facebook Inc and Alphabet Incs Google, Amazon is growing its ad business because brands placements often result directly in sales, reaching customers who are on Amazon with an intention to shop. Jesse Cohen, senior analyst at Investing.com, said, Outside of its core retail and cloud units, advertising revenue is increasingly becoming another substantial growth driver for Amazon. Amazon said ad and other sales rose 77% to $6.9 billion, ahead of analysts estimate of $6.2 billion.