Seattle's Amazon posts record profit riding on the back of pandemic-shopping spree



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Seattle's Amazon posts record profit riding on the back of pandemic-shopping spree

On Thursday, Amazon.com Inc., the Seattle, Washington-headquartered world’s largest online retailer, had reported record profits over fiscal first quarter of 2021 and raised full-year profit forecasts despite a rise in in-person activities, as massive Government stimulus mostly targeting small- and middle-income US households had helped the Seattle retailer handily beat Wall St.

estimates for quarterly profit and revenue on an average. Dissecting facts from fiction, shoppers across the globe remained heavily dependent on Amazon.com Inc. for in-home deliveries amid stiffer restrictions since the onset of pandemic outbreak, while with brick-and-mortar stores having lost their appeals amid a still-raging public health crises in major G20 economies, Jeff Bezos’ Amazon.com Inc.

has reported a fourth straight quarter of record profits late in the day, lifting the American multinational tech conglomerate’s shares’ prices as much as 2.70 per cent to $3,565 a share in post-market trading after wrapping up the day 0.37 per cent higher at $3,471.31.

Amazon posts record quarterly profit, raises full-year profit forecast

On top of that, according to Amazon.com Inc.’s quarterly earnings’ report for fiscal first quarter of the year that ended on March 31, the world’s No 1 online retailer’s net sales soared to $108.5 billion compared to $75.5 billion recorded at the same time a year earlier, beating an analysts’ estimate of $104.5 billion, IBES data from Refinitiv had revealed.

Aside from that, while Amazon was quoted saying that the Seattle-based retailer was expecting its operating income for current quarter to be between $4.5 billion and $8 billion including a roughly $1.5 billion in pandemic-related expenses despite a pickup in in-person activities, voicing an out-and-out optimism over Amazon’s cloud computing unit AWS (Amazon Web Service), Amazon founder and Chief Jeff Bezos said in a press release following the announcement, “In just 15 years, AWS has become a $54 billion annual sales run rate business competing against the world’s largest technology companies, and its growth is accelerating.