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A time to buy: The Retail Lifestyle Stars: Amazon reports $600mln profit for the year

As Amazon prices follow its not so confident peers like Radioshack and Sears Holdings after the results announcement, it is one of those great buying sprees you get at Amazon, every once in a while. The loss leader strategy adopted by the visionary led to a paltry $ 632 mln profits for the full year even as Sales were up 41% at $17.4 bln for the quarter and $48.08 bln for the year from $13 bln and  $34 bln in the year ago quarter and full 2010

As the FX impact turned positive $101 mln , the quarter managed to report a profit of $177 mln or 38 cents, dropping a jaw numbing  58% from last year. Full year earnings at $1.37 per share on 468 mln shares outstanding still beat full year expectations of $1.18

The year’s daisy chain of losses still does not deter the company from trudging a giant jump in revenues , guiding a $12 bln – $13.4 bln Q1 at a (Loss) Profit of between ($200mln) – $100 mln

The Worldwide media sales growth continued to sputter at $6 bln growing only 15% while Electronics and General Merchandise grew 48%

Image representing Amazon Web Services as depi...

Image via CrunchBase

to nearly $11 bln. North American grew faster at 37% to a $9.9 bln revenues in the Holiday quarter but International business also grew at 31% to $7.53 bln Its Amazon Web Services are also growing in footprint to Latin America and US West (Oregon)

The kindle range and Amazon Instant Prime Videos selection and collection will continue to be carefully grown in 2012,t he company having added Lost and Grays Anatomy amongst others this year

The earnings conference begins in half an hour

Bloomberg results report / Press release

 

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One comment on “A time to buy: The Retail Lifestyle Stars: Amazon reports $600mln profit for the year

  1. Pingback: The Retail Lifestyle Champions: Amazon gets one back | The Banking and Strategy Initiative

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This entry was posted on January 31, 2012 by in Financial Markets and tagged , , , , , , , , .

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