Seattle based Fortune 500 company, Amazon.com, Inc has announced an increase in its net sales from 51 per cent to $9.91 billion in the second quarter ended June 30, 2010, compared with $6.57 billion in second quarter 2010.
Operating cash flow increased 25 per cent to $3.21 billion for the trailing twelve months, compared with $2.56billion for the trailing twelve months ended June 30, 2010. Free cash flow decreased 8 per cent to $1.83 billion for the trailing twelve months, compared with $1.99 billion for the trailing twelve months ended June 30, 2010.
The company reported its operating income as $201 million in the second quarter, compared with $270 million in second quarter 2010. The favorable impact from year-over-year changes in foreign exchange rates throughout the quarter on operating income was $28 million. Net income decreased 8 per cent to $191 million in the second quarter, or $0.41 per diluted share, compared with net income of $207 million, or $0.45 per diluted share, in second quarter 2010. Second quarter 2011 net income was positively impacted by equity-method investment activity of $15 million, including a $49 million gain on the sale of an equity position partially offset by $34 million in losses from equity-method investments.
Commenting on the increasing sales, Jeff Bezos, founder and CEO, Amazon.com, said: "Low prices, expanding selection, fast delivery and innovation are driving the fastest growth we’ve seen in over a decade. Kindle 3G with Special Offers has quickly become our bestselling Kindle at only $139. Customers love the convenience of a 3G reader — no hunting for or paying for Wi-Fi hotspots. Amazon picks up the tab for the 3G wireless, so you have no monthly payments or annual contracts."
Amazon.com third quarter 2011 net sales are expected to be between $10.3 billion and $11.1 billion.
Amazon.com, Inc. is an online company offering new, refurbished and used items in categories such as Books; Movies, Music & Games; Digital Downloads; Electronics & Computers; Home & Garden; Toys, Kids & Baby; Grocery; Apparel, Shoes & Jewelry; Health & Beauty; Sports & Outdoors; and Tools, Auto & Industrial.
– IndiaRetailing Bureau
