Amazon Sinks After-Hours, Misses Q2 Bottom-Line Street View
Amazon (NASDAQ: AMZN) shares were falling in after-hours action after it missed bottom-line expectations by a wide margin on a 23 percent gain in revenue.
The company's loss widened to $126 million or $0.27 per share, from a loss of $7 million, or $0.02 per share, a year earlier.
Sales grew 23 percent from $15.7 billion to $19.34 billion in second quarter 2013. Wall Street expected a loss of $0.15 per share, on revenue of $19.34 billion.
For the third quarter, Amazon expects sales of between $19.7 billion and $21.5 billion, up by between 15 and 26 percent from a year earlier.
Amazon said its third-quarter operating loss will run between $810 million and $410 million, compared to a $25 million loss in third quarter 2013. The outlook includes $410 million for stock compensation and amortization.
Analysts expect a third-quarter loss of $0.07 per share on $20.83 billion in revenue.
For the recent period, Amazon did not breakout sales for its cloud-based Amazon Web Services segment, although usage growth for the service is up nearly 90 percent from the year-earlier quarter, it said.
In North America, accounting for about 60 percent of Amazon revenue, media sales grew 13 percent to $2.46 billion, electronics and general merchandise up 29 percent to $8.37 billion, while "other" was up 38 percent to $1.17 billion including Amazon Web Services sales, advertising and a co-branded credit card.
Amazon changed hands recently after hours at $332.10 per share, down 7.39 percent.
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