Online retail giant Amazon.com Inc. more than tripled its net income in the first three months of 2021 as sales marked record highs, the company reported in a statement.
- Net income surged 224% to $8.1 billion or $15.79 per diluted share from $2.5 billion or $5.01 per diluted share the first quarter of 2020.
- Net sales jumped 44% to $108.5 billion from $75.5 billion, on more purchases of higher-priced gadgets.
- Amazon expects sales to grow between 24% and 30% to $110.0 billion and $116.0 billion year-on-year in the second quarter.
- Operating income is expected to fall between $4.5 billion and $8.0 billion, assuming $1.5 billion of costs related to COVID-19. This compares with $5.8 billion in the second quarter of 2020.
- Amazon now has over 200 million paid Prime members worldwide, who have exclusive access to daily deals especially during Prime Day in the second quarter.
- The company will invest over $1 billion to increase wages for its hourly wages by between 50 cents and $3 an hour, equivalent to about $40 a week. Starting wages of $15 an hour will be kept.
- Amazon Prime Video is set to release new originals including Tom Clancy’s Without Remorse, The Tomorrow War, The Underground Railroad, and more.
AMZN:Nasdaq is up 2.04% premarket.