American tech giant Amazon reported solid earnings on Thursday with revenues breaching $100bn for the second consecutive quarter at $108.5bn, up 44% YoY on the back of increased online shopping globally. Net income for the quarter came in at $8.1bn, over 3x of last year’s number. Its cloud computing business AWS contributed to about half of its total operating income at $4.2bn with revenues growing 32%. Charlie O’Shea, an analyst at Moody’s commented, “[AWS] operating income increased by over $1bn…and increased around $600m from Q4 2020 on only $800m in revenue growth, indicating a significant leveraging of expenses driving margin expansion.” Another source of profitability is emerging in its advertising business as revenues in the division rose 77% to $6.9bn. The Bezos led company gave a revenue guidance of $110-116bn for Q2 boosted by its Prime Day sales event in June.
Amazon’s 3.15% 2027s traded higher by 0.2 points to 109.97 yielding 1.42%.
For the full story, click here