Bezos Alarms Amazon Investors With Spending Pace as Loss Widens

Bloomberg:

Jeff Bezos is testing the patience of investors after Amazon.com Inc. missed analysts’ estimates for a second straight quarter, sending the shares tumbling 11 percent.

The world’s largest online retailer yesterday reported a second-quarter loss of $126 million, more than double what was predicted, even as sales climbed 23 percent to $19.3 billion. Expenses jumped 24 percent to $19.4 billion. […]

The loss in the latest period was the biggest since the third quarter of 2012, when Amazon posted a $274 million loss. Looking ahead, Amazon projected sales of $19.7 billion to $21.5 billion for the current quarter. Operating losses are projected to be $810 million to $410 million, Amazon said.

You can’t dig forever.

★ Friday, 25 July 2014