Friday, July 27, 2012

Amazon.com Sales Surge, But Profits Drop

Seattle-based Amazon.com released its results for its second quarter Thursday, saying its sales surged to $12.83 billion in the quarter, up 29 percent from the similar quarter last year. However, the firm said that net income decreased 96 percent, to $7M in the second quarter, hit by such issues as unfavorable changes in foreign exchange rates and its acquisition of Kiva Systems. Amazon used its quarterly results announcement to push Amazon Prime, its combined free two-day shipping and television streaming service, saying that it's "the best bargain in the history of shopping."