Pandemic-boost helps Amazon triple its profits to $8.1 billion

midian182

Posts: 6,794   +61
Staff member
What just happened? The pandemic has decimated many businesses and industries, but some companies have benefitted from the increase in home-based working, shopping, and entertainment. It's been an especially lucrative time for Amazon, whose profits during the first three months of this year more than tripled to $8.1 billion.

In its Q1 2021 financial results, Amazon revealed it generated $108.5 billion in net sales throughout the quarter. That's up 44% from the $75.5 billion made during the same period last year. Its net income was even more impressive: rising from $2.5 billion in Q1 2020 to $8.1 billion.

As with other streaming services, the pandemic saw a jump in the number of people using Prime Video. "As Prime Video turns 10, over 175 million Prime members have streamed shows and movies in the past year, and streaming hours are up more than 70% year over year," said Jeff Bezos, who will be stepping down as CEO this summer to become the company's executive chairman. Amazon Web Services' (AWS) chief executive Andy Jassy will replace him.

AWS, which has long been a massive earner for the company, grew 32% and now brings in $54 billion annually. The company's ad business sales, meanwhile, were up 77%.

Amazon expects its next quarter to be even more successful, with net sales landing somewhere between $110 billion and $116 billion.

It appears that the negative publicity Amazon attracts doesn't put people off using its slew of services. The company's reputation for poor working conditions wasn't helped by a report claiming delivery staff must agree to AI surveillance or risk losing their jobs. Amazon also sparked a Twitter war after claiming employees didn't urinate in bottles, and it had to deal with the unionization push at an Alabama fulfillment center, which was voted down.

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NicktheWVAHick

Posts: 266   +352
I pretty much bought everything I used in 2020 on Amazon. My cardboard footprint must be beyond massive. If my credit card company allowed for just 2x points on Amazon purchases I’d be headed to Hawaii first class for free right now.
 

VitalyT

Posts: 5,568   +5,265
Keep the economy closed and the money pouring into the pockets on the 1%. Screw the little guy.
The irony here is, those little guys with the shittiest jobs and pays, are for example, Amazon packaging + delivery employees. And the higher Amazon is growing, the shittier their jobs become. Go figure, the ultimate capitalistic greed, to defecate not only on its customers, but on its own employees at the same time. That's Bezos philosophy of success. It's no wonder his wife took off, and has been giving away most of the money she's got to charities.
 

p51d007

Posts: 2,732   +2,058
And people (politicians) were screaming up and down in the 90's to bust up Microsoft?
 

MSIGamer

Posts: 45   +61
And people (politicians) were screaming up and down in the 90's to bust up Microsoft?
Yeah I was thinking of this too. Big corporations can get away with anything these days. Hell, they even get extra tax benefits.
Meanwhile politicians are just fighting among themselves and blocking legislation.
Great time to live in, if you're a Jeff bezos and have no moral compass.
 

OortCloud

Posts: 596   +454
I buy as little as possible from them and will pay extra and wait longer for things to avoid putting money into the morality-vacuum that is Jeff Bezos and Amazon.
 

Underdog

Posts: 194   +111
Pandemic.
Winners, losers, and dead people.
And what a shame the massive profits don't result in a bountiful tax result for the good of the general population.