Amazon lost $3.8 billion in the first quarter of 2022, even though revenue topped Wall Street expectations by $116.4 billion.
However, that was the company’s forecast, which reduced its share price by 10% in post-market trading. Amazon forecasts second-quarter revenue of $116 billion to $121 billion, compared to Wall Street estimates of $125.5 billion. And in a general statement about the quarter, Amazon CEO Andy Jassi said the company is transforming to meet the current momentum after rapid growth in the early days of the pandemic.
“The pandemic and the ensuing war brought unusual growth and challenges to Ukraine,” said Jassi. “Today, as we no longer see physical or human potential, our teams are focused on improving productivity and profitability across our performance network. We know how to do this and we’ve done it before. This could take some time, especially as we work with current inflation and supply chain pressures, but we are seeing encouraging progress on several dimensions of the customer experience, including speed of delivery, as we are now approaching levels we haven’t seen before. previous months . . A pandemic in early 2020″.
The company’s profitable advertising business is also experiencing a heat wave, generating $7.9 billion in first-quarter revenue, up from $6.4 billion a year ago but still $8 less, $2 billion in Wall Street expectations. Subscription services, which include Amazon Prime membership, totaled $8.4 billion in the quarter.
However, Amazon launched entertainment assets during the quarter, including the acquisition of MGM, telling investors that “the deal complements the work of Prime Video and Amazon Studios to bring a variety of original movies and TV shows to an audience global”. “Even more opportunities to deliver a quality story to consumers.”
Other Prime Video related news included announcements to see its next trailer Lord of the Rings Series and its future Thursday night football NFL Broadcasting, directed by Al Michaels and Kirk Herbstreet.
Amazon Web Services continued to be the strongest part of the company, generating $18.4 billion in revenue and launching new products with clients such as the National Hockey League and Verizon.
Source: Hollywood Reporter
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
