Connect with us

Hi, what are you looking for?

Jewish Business News

Blogs

Amazon’s Losses Widen as Fire Phone Flops

AMAZONE

Amazon reported disappointing earnings yesterday, missing both revenue and profit estimates. The company’s revenue growth dropped slightly to 20% as the e-commerce giant posted net sales of $20.58 billion. What’s more worrying though is the fact that Amazon’s net loss widened to $437 million as investments, stock-based compensation and lackluster sales of the Fire Phone weighed on the bottom line. 

After a radical price cut on the Fire Phone in September had fuelled rumours about slow sales of Amazon’s first smartphone, the company all but admitted defeat yesterday. Not only did Amazon take a $170 million write-off related to the phone’s weak performance, CFO Tom Szkutak also admitted that his company ended the quarter sitting on $83 million worth of unsold Fire Phones. 

Amazon’s stock price dropped 10% in after hours trading, indicating that some of the company’s shareholders are starting to lose their patience. Thus far shareholders had been remarkably trustful of Jeff Bezos’ long-term growth strategy, helping Amazon’s stock price to triple over the past 5 years despite the absence of any substantial profits.

Infographic: Amazon's Losses Widen as Fire Phone Flops | Statista

You will find more statistics at Statista

2 Comments

2 Comments

  1. Pingback: Amazon's Losses Widen as Fire Phone Flops - Tecapo - Computer Tech News

  2. Pingback: Amazon's Losses Widen as Fire Phone Flops - Tecapo - Computer Tech News

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Newsletter

Advertisement

You May Also Like

World News

In the 15th Nov 2015 edition of Israel’s good news, the highlights include:   ·         A new Israeli treatment brings hope to relapsed leukemia...

empty

The contract signed between the Israeli government and Pfizer shows clearly and unequivocally that this is a clinical study on humans - The agreement...

Business

Now Platika joins and elite club of $10 billion plus Israeli firms.

Travel

After two decades without a rating system in Israel, at the end of 2012 an international tender for hotel rating was published.  Invited to place bids...

Advertisement