AMZN

Amazon (AMZN) is out with its Q2 2022 earnings report, showing that the company beat revenue expectations.

There was additional information found in Amazon’s (AMZN) Q2 2022 earnings report. This beats out the expectation that the company would bring in $119 billion in revenue. Amazon (AMZN) is one of the largest companies on the planet, with an iron grip on the e-commerce world, and a presence in just about every aspect of entertainment.

Hello, and welcome to our Q2 2022 financial results conference call. Joining us today to answer your questions is Brian Olsavsky, our CFO. As you listen to ...

And it's with the experience they expect and kind of come to expect with Amazon. So we feel good about the program and the state of the Prime members after a very rough couple of years of pandemic turmoil, and we think it's a good base to build upon. And just kind of the implications on broader implications on the business from that initiative. So on the seller fee, again, we added that fee grudgingly in May to compensate for some of the inflationary pressures we're seeing. And that's investments in Prime Video, not just in some of the flagship shows that are kind of sourced here in the U.S., but also you've seen us continue to push for opportunities for -- in country and local language, video content that resonates with customers and can be a meaningful reason people sign up for the Prime program, engage and renew. First is the unfavorable comparison to very high holiday-level utilization rates that we saw in the first half of 2021; and second is the normal step down in volumes off of our Q4 peak that we saw in the first half of 2022. But where we've been operating, in many of those cases, considerably shorter than the tenure that we've had in the U.S. In our established international locations, U.K., Germany, Japan, over time, we've continued to improve the profitability of that business as we build out and establish stronger customer relationships and work on the cost structure and how we serve folks. Just looking -- broadly speaking of what's going on with that business and the losses that we're seeing there and the investments. We've seen really good progress with our customer base, longer and longer commitments, really committing to the cloud, some of that comes with credits to help them make their conversion to the cloud. AWS continues to grow at a fast pace, and we believe we're still in the early stages of enterprise and public sector adoption of the cloud. Sellers and vendors are also some of our larger advertising customers as well and helps -- that advertising helps them surface new selection to our customer base. We have also moved quickly to adjust our staffing levels and improve the efficiency of our significantly expanded operations network.

Amazon on Thursday reported second-quarter results that beat on the top line and issued rosy sales guidance for the third quarter.

Jassy's first year on the job has been marred by challenges, including an ongoing labor battle, the market downturn, growing regulatory pressure and an exodus of top talent. AWS generated operating income of $5.7 billion, accounting for all of Amazon's profit plus some in the period. That brings its total loss on the investment this year to $11.5 billion. Among the other top tech companies, Microsoft also reported disappointing results this week. Physical store sales continued to rebound from the year-ago period, growing 12%. Technology companies have been announcing layoffs, hiring freezes and rescinding job offers in the midst of economic uncertainty. I don't think you'll see us hiring at the same pace we did over the last year, or the last few years." Because of the Rivian writedown, Amazon had an overall loss of $2 billion in the quarter. "I think it's right for people to step back and question their hiring plans," Olsavsky said. Amazon recorded a $3.9 billion loss on its Rivian investment after shares of the electric vehicle maker plunged 49% in the second quarter. Amazon shaved its headcount by 99,000 people to 1.52 million employees as of the end of the second quarter after almost doubling in size during the pandemic. - Amazon reported second-quarter results on Thursday that beat on the top line.

AMZN Q2 earnings are expected after the close on Thursday. Amazon has missed four revenue forecasts from Wall Street in a row. If the market is a bit nervous ...

The author makes no representations as to the accuracy, completeness, or suitability of this information. The author will not be held responsible for information that is found at the end of links posted on this page. The author has not received compensation for writing this article, other than from FXStreet. It also does not guarantee that this information is of a timely nature. Amazon CEO Andy Jassy is beginning to make a name for himself, and it is not a good one. Mid-term support sits at $102.50, and long-term support is nearer the $90 region. One statistic that stands out is that of the 31 EPS revisions for Q2 that have been issued in the past 90 days, every single one was a downward revision. If the market is a bit nervous ahead of Amazon (AMZN) earnings, it is not showing it. Of course, there is always Amazon Web Services (AWS). Investors hope AWS once again saves the day. Amazon revenue grew just 7% YoY in the first quarter, and that was before everyone realized how badly inflation was getting out of hand. Founder Jeff Bezos' company has missed earnings forecasts two out of the past four quarters and four revenue projections in a row. Instead, the market chose to focus on the bottom line beat and Amazon Web Services growth.

Amazon.com, Inc. (NASDAQ:NASDAQ:AMZN) Q2 2022 Earnings Conference Call July 28, 2022 05:30 PM ET Company Participants Dave Fildes - Director of Investor ...

And as a result, we typically see a step-up in the SBC expense from Q1 to Q2 and of course, you saw it this time around. On the headcount, yes, I think it was more as we mentioned last quarter – last year – excuse me, in Q1, we added – to give you a flavor for it, we added 14,000 workers in Q1, prior year we had reduced our net headcount by 27,000. Just looking – broadly speaking at what's going on with that business and the losses that we're seeing there in the investments, I think it's important to remember it's early in many of our international countries, particularly in some of our emerging or more recent launch countries, places like India, Brazil, the Middle East, there are others as well, of course, but where we've been operating in many of those cases considerably shorter than the tenure we've had in the U.S. So you called out just the 3P mix being a kind of highest level, maybe talk about your focus to increase the mix to 3P and how that fits into plans for improved efficiency? The margin rate is going to fluctuate and this business is going to be always a factor of new investment and things like the sales force and new regions and infrastructure capacity offset by infrastructure efficiency gains that we see. How are you feeling about the positioning and the investments you need to make around things like Connected TV and programmatic advertising, where from the outside in it looks like you're continuing to make greater levels of investment and increasing your exposure to a wider array of advertising products? Pricing issues as we extend contracts, we've seen really good progress with our customer base, longer and longer commitments, really committing to the cloud, some of that comes with credits to help them make their conversion to the cloud and so that the revenue pattern can be, and the margin on that revenue can fluctuate quite a bit quarter-to-quarter, but see a lot of strength in the business right now. This rollout is the start of what we expect to be thousands of EDVs in more than 100 cities by the end of the year and 100,000 vehicles across the U.S. by the year 2030. And then also when you think about margins, the 35% for AWS in 1Q going to 29% in 2Q, what are some of the puts and takes that we should think about going forward just given decreasing server life benefits and tougher macro environment? And second is the normal step down in volumes off of our Q4 peak that we saw in first half of 2022. First is the unfavorable comparison to very high holiday level utilization rates that we saw in the first half of 2021. While there's still work to be done, we've made good progress in Q2. Our Prime membership program remains a key driver of our worldwide stores business, and we continue innovating to make the membership even more useful and valuable.

Amazon's second-quarter revenue beat analysts' average outlook, sparking a 12.5% gain this morning by AMZN stock.

The revenue of AWS jumped 33% YOY to $19.74 billion. He kept a “buy” rating on the name. He added, “Longer-term, Amazon should benefit from steady margin expansion driven by the rapid growth of its cloud and advertisement businesses.” On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. We’re also seeing revenue accelerate as we continue to make Prime even better for members,” Amazon CEO Andy Jassy said in a statement. Turning to guidance, Amazon expects to generate Q3 revenue of $125 billion to $130 billion versus analysts’ mean estimate of $126.6 billion.

Amazon.com Inc. showed its e-commerce and cloud-computing businesses can churn out revenue even as consumers worry about inflation and the company gets ...