Amazon on Thursday reported poorer-than-anticipated second quarter results. The online retail giant posted a loss of $126 million, or 27 cents per share - far greater than the 15 cents per share loss that analysts had forecasted.
In the year-ago period, Amazon posted a loss of just $7 million, or 2 cents per share. Revenue, however, rose 23 percent to $19.34 billion and was spot-on with expectations of $19.33 billion. That's up from $15.7 billion during the same period in 2013.
Amazon launched a number of new products and services this quarter which is the primary reason why losses were so steep.
As Amazon founder and CEO Jeff Bezos outlined in the earnings report, his company recently introduced Sunday delivery to a quarter of the US population. They also launched European cross-border two-day delivery for Prime, launched Prime Music, created three original kids TV series, launched the Fire TV set-top box, launched the Fire smartphone and launched Kindle Unlimited.
He said they are continuing to work hard to make the Amazon customer experience better and better.
Despite all of that, however, investors weren't pleased with Amazon's results. Share value plummeted more than 10 percent on the news, losing more than $36 of its value.
Looking ahead, Amazon expects third quarter revenue between $19.7 billion and $21.5 billion while analysts anticipate revenue around $20.81 billion.