Is Amazon still losing money?
Yesterday (July 25) Amazon shared results for that second quarter.
The company posted $2.6 billion in quarterly profit, missing the $2.8 billion analysts had expected.
Amazon famously lost money for its first 17 straight quarters as a public company, bleeding a combined $2.8 billion.
Why does Amazon not make a profit?
Amazon intentionally posts low profits because it takes the vast majority of the money it earns and invests it right back into the company so that it will profit all the more in the future.
How is Amazon doing financially?
Amazon makes money through its retail, subscriptions, and web services, among other channels. Retail remains Amazon’s primary source of revenue, with online and physical stores accounting for the biggest share. Amazon Advertising Services is one of company’s fastest growing businesses.
How did Amazon become profitable?
In fact, the real reasons that Amazon is now profitable are: The company cleaned up its business by streamlining operations, improving performance and cutting costs; and its customers assimilated the buying process into their daily lives.