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Amazon yesterday reported third quarter net sales of $43.7 billion, up 34 percent from $32.7 billion during the same period a year earlier. The numbers include $1.3 billion in net sales from Whole Foods, of which Amazon officially took ownership on August 28.

Net income was $256 million in the third quarter, compared with net income of $252 million in third quarter of 2016.

In a prepared statement, founder/CEO Jeff Bezos pointed to even brighter days ahead: ““In the last month alone, we’ve launched five new Alexa-enabled devices, introduced Alexa in India, announced integration with BMW, surpassed 25,000 skills, integrated Alexa with Sonos speakers, taught Alexa to distinguish between two voices, and more. Because Alexa’s brain is in the AWS cloud, her new abilities are available to all Echo customers, not just those who buy a new device.

“And it’s working — customers have purchased tens of millions of Alexa-enabled devices, given Echo devices over 100,000 5-star reviews, and active customers are up more than 5x since the same time last year. With thousands of developers and hardware makers building new Alexa skills and devices, the Alexa experience will continue to get even better.”

Bloomberg notes in its coverage that “Amazon’s subscription services revenue, which is mostly from Prime memberships, increased 59 percent to $2.4 billion in the third quarter. Second-quarter growth was 53 percent … Revenue from Amazon Web Services, its profitable cloud-computing division, increased 42 percent to $4.6 billion. Sales of warehousing, packaging and other logistics services Amazon provides for e-commerce merchants increased 40 percent to $7.9 billion.”

Amazon also said that it increased its employee ranks by 77 percent over the past year, to 541,900 full-time and part-time employees - not including the season workers it is hiring for the holidays.
KC's View:
For what it’s worth - and I wouldn’t put too much emphasis on it - the quarterly figured buoyed the investor class’s confidence in Amazon. Bloomberg put it this way - it “showed investors it can run grocery stores, churn out gadgets, expand its cloud-computing business and invest in new markets, all while selling more products online and managing expenses.”

It’s only one quarter, and therefore just a snapshot in time. But, the numbers do seem to address some of the concerns oft expressed about Amazon.