Jeff Bezos, founding father of Amazon
Katherine Taylor | Reuters
Amazon is about to report first quarter earnings after the bell Thursday.
Here’s what analysts predict:
- Earnings: $9.54 per share, in response to Refinitiv
- Revenue: $104.47 billion, in response to Refinitiv
Few corporations have benefited from the pandemic-fueled surge of on-line buying as much as Amazon. The firm notched report earnings and income final 12 months, whereas CEO Jeff Bezos announced earlier this month that Amazon crossed greater than 200 million Prime subscribers, up from 150 million at the begin of 2020.
Wall Street’s forecast for the first quarter means that analysts do not imagine that momentum has let up for the e-commerce large, at the same time as vaccine rollout has accelerated and extra states have lifted their coronavirus restrictions. Amazon can be anticipated to proceed exhibiting progress in its cloud-computing and promoting companies.
Any steerage given by the firm may point out whether or not Amazon believes progress will reasonable post-pandemic, resulting from customers making fewer purchases on-line and extra journeys to the retailer. Online marketplaces eBay and Etsy, in addition to Shopify, which makes on-line instruments for companies, noticed their companies buoyed by the pandemic and now face comparable questions from buyers.
In 2020, Amazon invested closely on coronavirus-related measures like security protocols and wage will increase for front-line employees. As a results of these prices, Amazon last quarter forecast working revenue of $three billion to $6.5 billion in the present interval. Those coronavirus-related prices are anticipated to gradual this 12 months, though on Wednesday, Amazon said it will spent greater than $1 billion on pay raises for greater than half one million of its U.S. operations employees.
Another focus will be any commentary on Bezos’ plans to step down in the third quarter. The Amazon founder will flip the helm over to AWS CEO Andy Jassy and transition into the function of government chairman of Amazon’s board. This quarter, Bezos made broad guarantees to do higher by Amazon’s staff in his final shareholder letter.
Investors are additionally waiting for any hints on timing for this 12 months’s Prime Day. The two-day low cost occasion, usually set in July, was pushed to October final 12 months resulting from uncertainties round the pandemic. Recode reported earlier this month that Amazon might maintain Prime Day in June, probably to spice up year-over-year comparisons for income in the second quarter.
This story is growing. Please verify again for updates.