The e-commerce giant Amazon now bears a mammoth amount of 542,000 employees and plans in hiring thousands of more employees, as per Business Insider. Amazon’s revenue hits record and silences the fear of the investors.
Amazon reported a Third Quarter Revenue of $ 43.74 billion (annual rise by 34%) and $0.52 of GAAP EPS that has easily beaten the estimates of the consensus analyst of $41.58 billion and $0.07. In seasonally big Q4 the company also guided for revenue to be in a range of $56 billion to $60.5 billion (up by 28% to 38%) that’s above a consensus of $54.24 billion. On the operating income that’s held back by a growth of heavy income- to be in a range of $300 million to $1.65 billion VS a level of $1.3 billion a year ago.
A thing to note here; both the Q4 guidance and Q3 sales are getting a boost by the late August closing acquisition of the Whole foods that may not still be factored in some the estimates of analyst. If not for the $1.3 billion, the growth in Q3 sales would have been 29% that addition of Whole Foods to the top line of Amazon. But this still states acceleration from the growth of 25% that Amazon posted in Q2.
When questioned about the international call for growths, Brian Olsavsky, CFO suggested that it had a lot to do with impact of the Prime Day that was being larger than expected- in both driving Prime sign-ups and the sales boost.
It is obvious what had allowed the Prime Day in gaining such a big impact of overseas as now even foreign customers on a huge scale are also warming to Prime, turning it on for their monthly and weekly shopping needs just the way many of the Americans had done. While Olsavsky talking of the giant pull of Prime, noted prime video viewed a vast international roll out in Q4 of 2016.
The growth of North America wasn’t negligible either, it was officially around 35% and after backing gout the sales of Whole foods it was 28%. Meantime the annual revenue growth of Amazon Web Services matched 42% in Q2.