2. In early July, Amazon released its second-quarter results. Without a doubt, Amazon is one of the companies benefiting from the situation. This is the most impressive quarter that Amazon has had so far thanks to the significant changes brought on by the COVID pandemic. And more customers purchasing products online worldwide.
- The company’s net sales exceeded all forecasts and showed a 40% increase this year and stand at $ 88.9B in the second quarter of the year.
- Amazon announced in April that it expects to lose up to $ 1.5B in the second quarter due to high operating expenses related to the pandemic and despite forecasts surprised and doubled its profitability year-on-year and stands at $ 5.2B.
- Amazon spent over $4B in the second quarter on expenses related to the Coronavirus – employee protection, payment of grants, and more.
- The huge increase in Amazon purchases covered the unforeseeable expenses and brought profits. For example, purchases of food and household goods (grocery) – tripled in the last quarter, year on year.
- Sales in North American countries increased by 43% to $ 55.4B compared to a 38% increase in the rest of the world of $ 22.7B.
- Amazon has hired over 175,000 new employees since March!!!
- Amazon’s revenue from Advertising (listed as “other”) increased by 41% year over year. It seems that Amazon has started to focus on the area of advertising with the addition of video campaigns, remarketing, and more.
- The reduction in marketing expenses and travel expenses helped increase the company’s profitability in the second quarter.