Amazon Q1 sales leap by 43%

Amazon reported bumper Q1 earnings and revenues.

Revenues were $51.04bn – a 43% leap on earnings in the same quarter last year, with earnings per share hitting $3.27. Revenue in North America was tgrew by 46% to $30.7bn, while its entire international sales grew 34% to $14.8bn.

Net income at Amazon hit $1.6bn in the same period, as the company turns its focus from growth to profit generation.

Amazon Web Services (AWS) saw sales grow by 49%, with a $1.4bn operating income or 73% of Amazon’s total.

In a prepared statement, Amazon CEO Jeff Bezos highlighted the massive success of AWS.

“AWS had the unusual advantage of a seven-year head start before facing like-minded competition, and the team has never slowed down,” said Bezos. “As a result, the AWS services are by far the most evolved and most functionality-rich.”

While announcing it is to increase the cost of Prime membership in the US by 20% to $119 a year, Amazon reported that its income from Prime and other memberships grew by 60% to $3.1bn.

Commentators have responded in superlatives over the massive growth reported by the online retail, web services and logistics operator. There is a real possibility that the company could be the first to top $1 trillion in value, even as it has made its founder and CEO the richest man on the planet. As it moves from growing into new markets and into turning profit from retail and logistics, so we are going to see a true behemoth reach maturity in the coming few years.