Amazon signalled last night that its breakneck growth will slow over the coming months as people emerge from pandemic restrictions.
Net sales at the world’s largest ecommerce group rose by 27 per cent to $113.1 billion in the second quarter, boosting net income by 50 per cent to a record $7.8 billion, but its revenues fell short of the $115.42 billion that Wall Street had expected.
Earnings were boosted by further gains at its powerhouse cloud computing division and its fast-growing online advertising business.
However, investors took fright at a striking slowdown at its mainstay online retail business. Sales in North America, Amazon’s largest market, rose by 22 per cent between April and June, about half the rate of the previous four quarters. Amazon’s shares fell by more than 6 per cent in after-hours trading, sliding $229.92 to $3,370, as the results raised concerns that the company would take a … Read more