Amazon's Fiscal Discipline Pays Off as It More Than Doubles Profit

Jeff Bezos Amazon Blue Origin

Excluding the $1.6 billion favorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales increased 39% compared with first quarter 2017. The company lost billions of dollars for more than a decade as it spent heavily to expand an e-commerce business with razor-thin margins. Gross margin was almost 40 per cent in the first quarter compared with consistent margins in the 30 per cent range for several years.

Ellie Mae reported Thursday that it had first-quarter earnings of $2.2 million (6 cents per share).

A year prior, the company reported earnings of $1.48 per share on revenue of $35.71 billion.

Amazon shares closed Thursday up almost 4 percent to $1,517.96. The company's core operating expenses - excluding its cost of sales covering items like payments for products that Amazon sells online - is consistently growing faster than Amazon's rapidly growing revenue. This is the first time that the company has increased the cost of annual subscriptions since 2014.

He noted that the company is seeing "rises in cost" for providing Prime services, which include shipping perks and video streaming.

Alleged Waffle House suspected killer hit with new charges
The 29-year-old said he has since gone to see some of the shooting victims in the hospital and they all remembered him. Reinking is accused of opening fire outside the restaurant early Sunday and then storming the Waffle House .

Amazon and Bezos still have to get through what may become one of their most challenging years yet, which is saying something for a company known for setting - and meeting - lofty goal.

Amazon said today (April 26) that the price of Prime, its signature membership program, will jump 20% to $119 from $99 in the US.

Its Amazon Web Services business - the computers that power cloud-based business applications - also is expected to see healthy growth. Analysts had a consensus revenue estimate of $49.87 billion for the quarter.

From 11 May, new members will pay $119 Dollars per year for a subscription, up from $99 USD right now. "We'll continue to invest in India where we're seeing great progress with both sellers and also customers". It's the second straight quarter of accelerating growth for the profitable unit.

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