Amazon (AMZN $224.71 +10.53) reported second quarter earnings of $0.41
per share, $0.07 better than the Capital IQ Consensus Estimate of $0.34.
Revenues rose 50.8% year/year to $9.91 billion versus the $9.37 billion
consensus.
For the third quarter, the company issued revenue guidance of $10.3 billion to
$11.1 billion versus the $10.39 billion Capital IQ Consensus Estimate.
Operating income is expected to be between $20 million and $170 million, or
between 93% decline and 37% decline compared with third 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.
"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."






