Amazon's Profit Plunges 73%

#1

Post by cwan » Tue, Oct 25, 2011, 9:14 PM UTC

Amazon's Profit Plunges 73%
online.wsj.com

Re: Amazon's Profit Plunges 73%

#2

Post by chuinard » Tue, Oct 25, 2011, 9:40 PM UTC

Interesting but no one likes a paywall.

Re: Amazon's Profit Plunges 73%

#3

Post by mcphilip » Tue, Oct 25, 2011, 9:47 PM UTC

chuinard wrote: post #2

Interesting but no one likes a paywall.

True, but the article can still be viewed via the old 'first click free' technique of googling the article title and navigating to the page from the search results.

Re: Amazon's Profit Plunges 73%

#4

Post by nvictor » Tue, Oct 25, 2011, 9:50 PM UTC

mcphilip wrote: post #3

chuinard wrote: post #2

Interesting but no one likes a paywall.

True, but the article can still be viewed via the old 'first click free' technique of googling the article title and navigating to the page from the search results.

:O

where were you when i needed that trick?

Re: Amazon's Profit Plunges 73%

#5

Post by mikeryan » Tue, Oct 25, 2011, 9:52 PM UTC

Profit's are such a volatile metric. Amazon's been spending like crazy in the last few months on producing new Kindle products - most of which are being sold as a loss leader in an effort to push book sales.

Note that Amazon's overall Revenues are up 44%

Less sensational, more nuts and bolts article http://www.marketwatch.com/story/amazoncom-announces-third-q...

Re: Amazon's Profit Plunges 73%

#6

Post by icebraining » Tue, Oct 25, 2011, 10:01 PM UTC

mikeryan wrote: post #5

Profit's are such a volatile metric. Amazon's been spending like crazy in the last few months on producing new Kindle products - most of which are being sold as a loss leader in an effort to push book sales. Note that Amazon's overall Revenues are up 44% Less sensational, more nuts and bolts article http://www.marketwatch.com/story/amazoncom-announces-third-q...

Exactly. The drop is an investment and was expected.

Re: Amazon's Profit Plunges 73%

#7

Post by philjr » Tue, Oct 25, 2011, 10:03 PM UTC

mikeryan wrote: post #5

Profit's are such a volatile metric. Amazon's been spending like crazy in the last few months on producing new Kindle products - most of which are being sold as a loss leader in an effort to push book sales. Note that Amazon's overall Revenues are up 44% Less sensational, more nuts and bolts article http://www.marketwatch.com/story/amazoncom-announces-third-q...

In addition to massive hiring

Re: Amazon's Profit Plunges 73%

#8

Post by pash » Tue, Oct 25, 2011, 10:07 PM UTC

chuinard wrote: post #2

Interesting but no one likes a paywall.

Here's a link that takes you to the full article:

http://www.google.com/url?sa=t&rct=j&q=Amazon%2527s%...

Re: Amazon's Profit Plunges 73%

#9

Post by megablast » Tue, Oct 25, 2011, 10:09 PM UTC

mikeryan wrote: post #5

Profit's are such a volatile metric. Amazon's been spending like crazy in the last few months on producing new Kindle products - most of which are being sold as a loss leader in an effort to push book sales. Note that Amazon's overall Revenues are up 44% Less sensational, more nuts and bolts article http://www.marketwatch.com/story/amazoncom-announces-third-q...

On the other hand, revenues can mean nothing as well, since profits are what count, and huge revenues do not always translate, and could be a sign of a spending problem.

Re: Amazon's Profit Plunges 73%

#10

Post by secretasiandan » Tue, Oct 25, 2011, 10:11 PM UTC

mikeryan wrote: post #5

Profit's are such a volatile metric. Amazon's been spending like crazy in the last few months on producing new Kindle products - most of which are being sold as a loss leader in an effort to push book sales. Note that Amazon's overall Revenues are up 44% Less sensational, more nuts and bolts article http://www.marketwatch.com/story/amazoncom-announces-third-q...

That's not an article, that's a press release.

Source is Business Wire

https://en.wikipedia.org/wiki/Business_Wire

"Business Wire is a company that disseminates full-text news releases from thousands of companies and organizations worldwide to news media, financial markets, disclosure systems, investors, information web sites, databases and other audiences"

Does the press have an incentive to talk about the plunge in profits? Yes

Does the company itself have an incentive to spin things by touting increased revenues? Yes