Amazon stock jumps 3% as the company announced $100 billion in sales.
Amazon was one of the companies that also benefited from the pandemic. Amazon latest earnings release, and according to Amazon, has made an enormous profit in 12 months as compared to the previous three years.
The pandemic seems to be very profitable for Amazon.
Amazon collected $26.9 billion in profit from April 2020 to March 31st 2021, while it made $24.7 billion in profit between 2017 to 2019. According to the release, the net sales of amazon have increased 44%, that is $108.5 billion in the first quarter of 2021 (while compared to $75.5 billion this time last year). This is the 78th consecutive quarter of double-digit year over year growth and mark the highest growth rate since 2011.
It was a massive jump in e-commerce in the last 12 months. The company also reported that they have more than 200 million paying Prime members and 32% revenue growth in its Amazon Web Services cloud division. The AWS unit made $13.5 billion, which is 12% of Amazon’s total revenue.
According to FactSet, analysts expected Amazon to report earnings on average of $9.54 a share on sales of $104.51 billion. Shares gained about 3% in after-hours trading immediately following the release of the results, after closing with a 0.4% gain at $3,471.31. The stock has gained 46.5% in the past 12 months, as the S&P 500 index SPX, +0.68%, has gained 42.3%.