SEATTLE, WA - Amazon has reported its most profitable quarter ever, beating expectations for sales, sending its share price up over 12 percent, and bringing its market cap to almost $280 billion. For perspective, Walmart’s current market cap currently resides at around $217 billion, firmly placing Amazon as one of the world’s most valuable retailers.
Net sales increased 28 percent to $29.1 billion in the first quarter, compared with $22.7 billion in first quarter 2015, exceeding both analysts’ expectations and the company’s own forecast. Net income rose to $513 million, making this Amazon’s highest quarterly profit, while North American retail sales and international retail sales both grew more than 30 percent.
Amazon’s core e-commerce business also continues its rapid North American growth, building by 32 percent. A big part of this is its Prime and Amazon Fresh membership programs, which offers unlimited express delivery on millions of products, including fresh groceries. According to the Bernstein analysts, Prime currently has at least 65 million members worldwide, and Prime membership increased 51 percent in 2015 alone.
CEO Jeff Bezos, who owns 82,914,385 shares in the company, according to Yahoo Finance, made a gain of more than $6.2 billion just off the climb in today’s share prices.
As Amazon continues to solidify its position as a force to be reckoned with in the retail world, AndNowUKnow will continue to give you the freshest updates.
