Amazon’s Fortunes Rise in Second Quarter
Amazon.com generated $2.89 billion in sales during the second quarter, up from $2.14 billion in second quarter 2006. The Seattle-based online retailer’s net income more than tripled during this period, from $22 million to $78 million. The quarter ended June 30.
Amazon founder and CEO Jeff Bezos attributed his company’s fortunes to Amazon Prime, a membership program that allows participants to get unlimited two-day shipping for free. Subscriber growth in Amazon Prime
International sales were $1.28 billion during the quarter, up 31% from second quarter 2006’s level. But North American sales rose even faster, by 38%, topping out at $1.60 billion.
Amazon anticipates further revenue increases for its third quarter. The company’s guidance put third quarter sales at between $3.0 and $3.175 billion, or 30%-38% higher than third-quarter 2006’s level.
